Enterprise and Regulatory Reform Bill

Session 2012 - 13
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Other Bills before Parliament

Enterprise and Regulatory Reform Bill

Enterprise and Regulatory Reform Bill
Part 6 — Miscellaneous and general
83

(5)
A statutory instrument containing an order under this section may not be
made unless a draft of the instrument has been laid before, and approved by a
resolution of, each House of Parliament.
(6)
In this section—
“enactment” includes—
5
(a)
an enactment contained in subordinate legislation (within the
meaning of the Interpretation Act 1978),
(b)
an enactment contained in, or in an instrument made under, an
Act of the Scottish Parliament, and
(c)
an enactment contained in, or in an instrument made under, a
10
Measure or Act of the National Assembly for Wales; and
“specified” means specified in the order.
89
Corporate insolvency: power to give further protection to essential supplies
(1)
The Secretary of State may by order make provision for insolvency-related
terms of a contract for the supply of essential goods or services to a company
15
to cease to have effect where—
(a)
the company enters administration or a voluntary arrangement under
Part 1 of the Insolvency Act 1986 takes effect in relation to it, and
(b)
any conditions specified in the order are met.
(2)
The order must include provision for securing that, where an insolvency-
20
related term of a contract ceases to have effect under the order, the contract
may be terminated by the supplier if—
(a)
an insolvency office-holder consents to the termination,
(b)
a court grants permission for the termination, or
(c)
any charges in respect of the supply that are incurred after the company
25
enters administration or the voluntary arrangement takes effect are not
paid within the period of 28 days beginning with the day on which
payment is due.
(3)
The order must include provision for securing that, where an insolvency-
related term of a contract ceases to have effect under the order, the supplier
30
may terminate the supply unless an insolvency office-holder personally
guarantees the payment of any charges in respect of the continuation of the
supply.
(4)
The order may provide for exceptions to the right of a supplier to terminate a
supply under provision made by virtue of subsection (3).
35
(5)
The order must (in addition to the provision mentioned in subsections (2) and
(3)) include such other provision as the Secretary of State considers appropriate
for securing that the interests of suppliers are protected.
(6)
A contract for the supply of essential goods or services is a contract for a supply
mentioned in section 233(3) of the Insolvency Act 1986.
40
(7)
An insolvency-related term of a contract for the supply of essential goods or
services to a company is a provision of the contract under which—
(a)
the contract or the supply would terminate, or any other thing would
take place, because the company enters administration or the voluntary
arrangement takes effect,
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Enterprise and Regulatory Reform Bill
Part 6 — Miscellaneous and general
84

(b)
the supplier would be entitled to terminate the contract or the supply,
or to do any other thing, because the company enters administration or
the voluntary arrangement takes effect, or
(c)
the supplier would be entitled to terminate the contract or the supply
because of an event that occurred before the company enters
5
administration or the voluntary arrangement takes effect.
(8)
In this section, “insolvency office-holder” means—
(a)
in a case where a company enters administration, the administrator;
(b)
in the case where a voluntary arrangement under Part 1 of the
Insolvency Act 1986 takes effect in relation to a company, the
10
supervisor of the voluntary arrangement.
90
Individual insolvency: power to give further protection to essential supplies
(1)
The Secretary of State may by order make provision for insolvency-related
terms of a contract for the supply of essential goods or services to an individual
to cease to have effect where—
15
(a)
a voluntary arrangement proposed by the individual is approved
under Part 8 of the Insolvency Act 1986, and
(b)
any conditions specified in the order are met.
(2)
The order must include a condition that ensures that an insolvency-related
term of a contract for the supply of essential goods or services to an individual
20
does not cease to have effect unless the supply is for the purpose of a business
that is or has been carried on by the individual or with which the individual
has or had another connection of a kind specified in the order.
(3)
The order must include provision for securing that, where an insolvency-
related term of a contract ceases to have effect under the order, the contract
25
may be terminated by the supplier if—
(a)
the supervisor of the voluntary arrangement consents to the
termination,
(b)
a court grants permission for the termination, or
(c)
any charges in respect of the supply that are incurred after the
30
voluntary arrangement proposed by the individual is approved are not
paid within the period of 28 days beginning with the day on which
payment is due.
(4)
The order must include provision for securing that, where an insolvency-
related term of a contract ceases to have effect under the order, the supplier
35
may terminate the supply unless the supervisor of the voluntary arrangement
personally guarantees the payment of any charges in respect of the
continuation of the supply.
(5)
The order may provide for exceptions to the right of a supplier to terminate a
supply under provision made by virtue of subsection (4).
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(6)
The order must (in addition to the provision mentioned in subsections (3) and
(4)) include such other provision as the Secretary of State considers appropriate
for securing that the interests of suppliers are protected.
(7)
A contract for the supply of essential goods or services is a contract for a supply
mentioned in section 372(4) of the Insolvency Act 1986.
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Enterprise and Regulatory Reform Bill
Part 6 — Miscellaneous and general
85

(8)
An insolvency-related term of a contract for the supply of essential goods or
services to an individual is a provision of the contract under which—
(a)
the contract or the supply would terminate, or any other thing would
take place, because the voluntary arrangement proposed by the
individual is approved,
5
(b)
the supplier would be entitled to terminate the contract or the supply,
or to do any other thing, because the voluntary arrangement proposed
by the individual is approved, or
(c)
the supplier would be entitled to terminate the contract or the supply
because of an event that occurred before the voluntary arrangement
10
proposed by the individual is approved.
91
Sections 89 and 90: supplemental
(1)
The power to make an order under section 89 or 90 includes—
(a)
power to make different provision for different cases;
(b)
power to provide for a person to exercise a discretion in a matter;
15
(c)
power to make incidental, supplementary, consequential, transitional
or saving provision;
(d)
power to make any provision that may be made by the order by
amending the Insolvency Act 1986 or any other enactment.
(2)
An order under either of those sections may not be made so as to have effect in
20
relation to contracts entered into before the order come into force.
(3)
An order under either of those sections must be made by statutory instrument.
(4)
A statutory instrument containing an order under either of those sections may
not be made unless a draft of the instrument has been laid before, and
approved by a resolution of, each House of Parliament.
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(5)
In this section, “enactment” has the same meaning as in section 88.
Royal Charters
92
Royal Charters: requirements for Parliamentary approval
Where a body is established by Royal Charter after 1 March 2013 with
functions relating to the carrying on of an industry, no recommendation may
30
be made to Her Majesty in Council to amend the body’s Charter or dissolve the
body unless any requirements included in the Charter on the date it is granted
for Parliament to approve the amendment or dissolution have been met.
Equal pay audits
93
Power to provide for equal pay audits
35
(1)
The Equality Act 2010 is amended as follows.

Enterprise and Regulatory Reform Bill
Part 6 — Miscellaneous and general
86

(2)
After section 139 insert—
“139A
Equal pay audits
(1)
Regulations may make provision requiring an employment tribunal to
order the respondent to carry out an equal pay audit in any case where
the tribunal finds that there has been an equal pay breach.
5
(2)
An equal pay breach is—
(a)
a breach of an equality clause, or
(b)
a contravention in relation to pay of section 39(2), 49(6) or 50(6),
so far as relating to sex discrimination.
(3)
An equal pay audit is an audit designed to identify action to be taken
10
to avoid equal pay breaches occurring or continuing.
(4)
The regulations may make further provision about equal pay audits,
including provision about—
(a)
the content of an audit;
(b)
the powers and duties of a tribunal for deciding whether its
15
order has been complied with;
(c)
any circumstances in which an audit may be required to be
published or may be disclosed to any person.
(5)
The regulations must provide for an equal pay audit not to be ordered
where the tribunal considers that—
20
(a)
an audit completed by the respondent in the previous 3 years
meets requirements prescribed for this purpose,
(b)
it is clear without an audit whether any action is required to
avoid equal pay breaches occurring or continuing,
(c)
the breach the tribunal has found gives no reason to think that
25
there may be other breaches, or
(d)
the disadvantages of an equal pay audit would outweigh its
benefits.
(6)
The regulations may provide for an employment tribunal to have
power, where a person fails to comply with an order to carry out an
30
equal pay audit, to order that person to pay a penalty to the Secretary
of State of not more than an amount specified in the regulations.
(7)
The regulations may provide for that power—
(a)
to be exercisable in prescribed circumstances;
(b)
to be exercisable more than once, if the failure to comply
35
continues.
(8)
The first regulations made by virtue of subsection (6) must not specify
an amount of more than £5,000.
(9)
Sums received by the Secretary of State under the regulations must be
paid into the Consolidated Fund.
40
(10)
The first regulations under this section must specify an exemption
period during which the requirement to order an equal pay audit does
not apply in the case of a business that—
(a)
had fewer than 10 employees immediately before a specified
time, or
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(b)
was begun as a new business in a specified period.

Enterprise and Regulatory Reform Bill
Part 6 — Miscellaneous and general
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(11)
For the purposes of subsection (10)—
(a)
“specified” means specified in the regulations, and
(b)
the number of employees a business had or the time when a
business was begun as a new business is to be determined in
accordance with the regulations.
5
(12)
Before making regulations under this section, a Minister of the Crown
must consult any other Minister of the Crown with responsibility for
employment tribunals.”
(3)
In section 207(6) (exercise of power to make subordinate legislation: power to
amend enactments) after “37,” and after “in the case of section” insert “139A,”.
10
(4)
In section 208(5) (subordinate legislation by Ministers of the Crown etc:
affirmative procedure) after paragraph (e) insert—
“(ea)
regulations under section 139A (equal pay audits);”.
General
94
Consequential amendments, repeals and revocations
15
(1)
The Secretary of State may by order made by statutory instrument make such
provision as the Secretary of State considers appropriate in consequence of this
Act.
(2)
The power conferred by subsection (1) includes power—
(a)
to make transitional, transitory or saving provision;
20
(b)
to amend, repeal, revoke or otherwise modify any provision made by
or under an enactment (including any enactment passed or made in the
same Session as this Act).
(3)
An order under subsection (1) which makes provision for the transfer of a
function from the Competition Commission or the Office of Fair Trading to the
25
Competition and Markets Authority in consequence of Part 3 of this Act may
make such modifications to the function as the Secretary of State considers
appropriate in consequence of the transfer.
(4)
The modifications mentioned in subsection (3) may, in particular, alter the
circumstances in which, or the conditions under which, the function is
30
exercisable.
(5)
A statutory instrument containing (whether alone or with other provision) an
order under this section which amends, repeals or revokes any provision of
primary legislation is not to be made unless a draft of the instrument has been
laid before, and approved by a resolution of, each House of Parliament.
35
(6)
A statutory instrument containing an order under this section which does not
amend, repeal or revoke any provision of primary legislation is subject to
annulment in pursuance of a resolution of either House of Parliament.
(7)
In this section—
“enactment” includes an Act of the Scottish Parliament, a Measure or Act
40
of the National Assembly for Wales and Northern Ireland legislation;
“primary legislation” means—
(a)
an Act of Parliament,
(b)
an Act of the Scottish Parliament,

Enterprise and Regulatory Reform Bill
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(c)
a Measure or Act of the National Assembly for Wales, and
(d)
Northern Ireland legislation.
95
Transitional, transitory or saving provision
The Secretary of State may by order made by statutory instrument make such
transitional, transitory or saving provision as the Secretary of State considers
5
appropriate in connection with the coming into force of any provision of this
Act.
96
Financial provision
There is to be paid out of money provided by Parliament—
(a)
any expenditure incurred under or by virtue of this Act by the Secretary
10
of State or the Competition and Markets Authority, and
(b)
any increase attributable to this Act in the sums payable under any
other Act out of money so provided.
97
Extent
(1)
Part 1 extends to England and Wales, Scotland and Northern Ireland.
15
(2)
Part 2 extends only to England and Wales and Scotland, except that the
following provisions of that Part extend also to Northern Ireland—
(a)
section 23(3);
(b)
paragraph 11 of Schedule 1;
(c)
paragraphs 36 to 39 of Schedule 2.
20
(3)
Part 3 extends to England and Wales, Scotland and Northern Ireland, except as
follows—
(a)
paragraphs 15 to 44, 69 to 84 and 101 to 107 of Schedule 6 extend only
to England and Wales and Scotland;
(b)
paragraphs 52 to 68, 96, 108 to 123 and 127 to 139 of that Schedule
25
extend only to England and Wales;
(c)
paragraphs 9 to 14, 45 to 51, 171 to 180 and 192 to 209 of that Schedule
extend only to Scotland;
(d)
paragraphs 149 to 170 and 181 to 191 of that Schedule extend only to
Northern Ireland.
30
(4)
Part 4 extends to England and Wales, Scotland and Northern Ireland, except as
follows—
(a)
paragraphs 1 to 7 and 11 to 14 of Schedule 14 and paragraphs 2, 3, 7, 13
and 41 of Schedule 15, extend only to England and Wales and Scotland;
(b)
paragraphs 8 to 10 and 20 to 22 of Schedule 14, and paragraphs 4 to 6
35
and 47 to 49 of Schedule 15, extend only to England and Wales;
(c)
paragraphs 23 to 29 of Schedule 14, and paragraphs 53 to 55 of Schedule
15, extend only to Northern Ireland.
(5)
Part 5 extends as follows—
(a)
sections 59, 62, 68, 69 and 72 and Part 1 of Schedule 21 extend to
40
England and Wales, Scotland and Northern Ireland,

Enterprise and Regulatory Reform Bill
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(b)
section 70 extends only to England and Wales and Scotland except that
it also extends to Northern Ireland so far as Parts 1 and 4 of the Health
and Safety at Work etc. Act 1974 extend there,
(c)
sections 64, 66 and 67 and paragraphs 1, 56 to 58, 60 and 66 of Schedule
19 (and section 73(3) so far as it relates to those paragraphs) extend only
5
to England and Wales and Scotland,
(d)
sections 60, 61, 63, 73(1) and (2) and 74(1) to (3), Schedules 16, 17 and 18,
paragraphs 2 to 55, 59, 61 to 65 of Schedule 19 (and section 73(3) so far
as it relates to those paragraphs) and Parts 2 and 3 of Schedule 21
extend only to England and Wales, and
10
(e)
an amendment, repeal or revocation made by Schedule 20 has the same
extent as the provision amended, repealed or revoked, subject to
subsection (6).
(6)
The repeals of the following provisions in Schedule 20 extend to England and
Wales only—
15
(a)
section 67 of the Agriculture Act 1967,
(b)
paragraph 32 of Schedule 2 to the Social Security (Consequential
Provisions) Act 1975,
(c)
paragraph 10 of Schedule 4 to the Social Security Pensions Act 1975,
(d)
paragraph 12 of Schedule 17 to the Employment Protection Act 1975,
20
and
(e)
paragraph 4 of Schedule 2 to the Social Security (Consequential
Provisions) Act 1992.
(7)
If a provision repealed by Part 1 of Schedule 21 extends to the Isle of Man or
any of the Channel Islands, Her Majesty may by Order in Council extend the
25
repeal there.
(8)
This Part extends to England and Wales, Scotland and Northern Ireland except
that—
(a)
sections 88, 89, 91 and 93 extend only to England and Wales and
Scotland;
30
(b)
section 90 extends only to England and Wales.
98
Commencement
(1)
The following provisions come into force on the day on which this Act is
passed—
(a)
section 10;
35
(b)
section 24;
(c)
section 28;
(d)
sections 52 and 53;
(e)
section 59;
(f)
sections 77 to 80 and Schedule 22;
40
(g)
sections 88 to 91;
(h)
sections 93 to 99;
(i)
any other provision so far as is necessary for enabling the exercise on or
after the day on which this Act is passed of any power (arising under
or by virtue of that provision) to make provision by regulations, rules
45
or order made by statutory instrument.