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Mr. Miller: I prefer to hear that.
The Secretary of State for National Heritage (Mrs. Virginia Bottomley): The note on which the hon. Member for Ellesmere Port and Neston (Mr. Miller) concluded his remarks has, in many ways, characterised
the passage of the Bill through the House of Commons. I should like to add my strong thanks and appreciation to my hon. Friend the Minister of State, Department of National Heritage, my hon. Friend the Minister for Science and Technology and all the members of the Committee. I should also like to thank the extremely hard-working officials from the Department of National Heritage, who laboured long and hard and who frequently kept their heads when all about them lost theirs. We are extremely indebted to them. I should like to thank the Opposition, especially the hon. Member for Kirkcaldy (Dr. Moonie) and his team. The spirit of constructive debate has been extremely impressive.
Despite the comments of the hon. Member for Ellesmere Port and Neston about how the Committee could have been handled better, it has been my impression that the regulators and the broadcasters have effectively been offering sessions to hon. Members of whatever persuasion to seek to consider options constructively and to provide information and advice to the best of their ability. In short, in many ways, it has been a model of careful scrutiny. Following the detailed debate and discussion in another place, I believe that it leaves our deliberations improved, modified and made more sensitive and appropriate to the evolving needs that have been described by many.
I dispute the suggestion that the Bill is not appropriate to current circumstances. I believe that the comment made earlier today by the hon. Member for Sunderland, South (Mr. Mullin) that it is easy to become dazzled by technology was fair. We have to regulate and establish a framework for the world as it is, albeit while recognising the very fast pace of change. It was because of the digital future that it was so necessary to introduce the legislation now, enabling us to be on the front foot and to provide the United Kingdom with a platform to take a world lead in digital broadcasting.
The Bill also gives media companies the freedom to expand into new sectors. It provides greater choice and it protects the interests of viewers and listeners. Hon. Members have already described some of the ways in which they believe that improvements have been made.
The hon. Member for Kirkcaldy raised a specific point that I should like to address. We think that the regulatory gap that the Independent Television Commission perceives is, in practice, not a major concern. If a broadcaster acquired a small newspaper, it would become a newspaper proprietor and subject to the newspaper merger provisions if it then proceeded to make a major newspaper acquisition. The Monopolies and Mergers Commission, on reporting the matter to the Secretary of State, would no doubt take into account the fact that the newspaper proprietor held a broadcasting licence when that appeared to be a relevant factor. In other words, we believe that there is adequate regulatory protection.
I suppose that I am pleased that the voice of the right hon. Member for Manchester, Gorton (Mr. Kaufman) is fairly isolated in being quite so critical of the Bill. The careful process of consultation on cross-media ownership and on digital television was followed by the Bill's launch in December, and that process was widely endorsed and commended by those in the industry and by other commentators for its detailed consideration and debate.
Of course rapid change is occurring, and we must be prepared for the future, but the legislation represents a very substantial process of deregulation, offering media
companies a great opportunity to extend and to move into new markets. The divisions that emerged among Opposition Members earlier in the debate over the degree to which they were able to embrace the future were extremely marked and interesting.
My hon. Friend the Member for North Thanet (Mr. Gale) has played a very active part in the Bill's passage, and I share his view of the positive opportunities for the future. Few would have predicted that satellite would have expanded as it has; I believe that the opportunities with digital television will be similar.
The hon. Member for Doncaster, North (Mr. Hughes) asked a very important question about Doncaster. I shall never visit Doncaster again without worrying about being interviewed on radio, particularly if it is to see the developments of the Earth Centre, which is one of the millennium flagship projects there. I shall ensure that he receives a proper answer, and that there is further consideration of the matter that he raised.
I am delighted about the tribute that my hon. Friend the Member for Salisbury (Mr. Key) paid to officials at the Department of National Heritage, where he is remembered with great affection. I cannot promise that digital will solve all the reception problems to which he alluded, but I think that it will offer greater opportunities--certainly to develop regional and local services, which is not possible on satellite.
The hon. Member for Cambridge (Mrs. Campbell) made some important points and spoke a little about equal opportunities. Although it does not relate to the Bill, I shall send her a copy of what I told the Royal Television Society and skill set on that matter and on the need for people in television to act on the basis of enlightened self-interest, which, of course, means wise choices in staff. My remarks also dealt with the importance of investing in training and with the need for talented people. That point was made by my hon. Friend the Member for Ryedale (Mr. Greenway), who was a member of the 1990 Bill team. As he rightly said, the great success of Classic FM and Channel 4 since then is only a small indication of the opportunities that we now see for the future.
I thank hon. Members. I believe that we have ensured that the Bill, which we have seen through its Commons stages, will have the overall support of the industry, of
regulators and of listeners. It safeguards and enhances the prospects for British business, British jobs and the British people. I commend it to the House.
Question put and agreed to.
Bill read the Third time, and passed.
Madam Deputy Speaker (Dame Janet Fookes):
With permission, I shall put together the motions relating to delegated legislation.
Motion made, and Question put forthwith, pursuant to Standing Order No. 101(6) (Standing Committees on Delegated Legislation),
Motion made, and Question put forthwith, pursuant to Standing Order No. 102(9) (European Standing Committees),
Motion made, and Question proposed, That this House do now adjourn.--[Mr. Bates.]
Mr. John Marshall (Hendon, South):
I make no apology for raising in this Chamber, yet again, the question of legal aid--although I apologise to my hon. Friend the Minister for the hour at which I am doing so. However, he has the bonus that it gives him the opportunity to comment on the Government's White Paper "Striking the Balance" on the very day of its publication.
As my hon. Friend knows, I have raised the subject of legal aid many times, both in Adjournment debates and in parliamentary questions. I have found that the concerns that I have raised have been echoed by many colleagues within the House, and by many people outside it. I obtained from the Library today a list of the questions asked on the subject of legal aid over the past 14 months. They number 250, which shows the concern of a large number of hon. Members about the position.
I pay tribute to the interest of the press in the matter. Both the Daily Mail and The Sunday Times have shown great interest. Whenever I have spoken on the subject and been quoted in the press, there is always an influx of letters from people all over the country who are concerned about the way the system is administered.
Paradoxically, while there has been a dramatic rise in the size of the legal aid bill--it was under £100 million in 1979, about £200 million in 1983-84, had grown to £1.2 billion 10 years later and is now about £1.4 billion--eligibility has been restricted. As my hon. Friend said only yesterday, the proportion of the population eligible for legal aid has fallen from 70 per cent. to 49 per cent.
Ironically, as my noble Friend the Lord Chancellor said, at a time of record expenditure on legal aid, the esteem and reputation of the Legal Aid Board are probably at an all-time low. There has been widespread concern that the taxpayer is not getting value for money, and that some of the cases supported by the legal aid fund are a disgrace.
A case referred to in parliamentary questions involved a prisoner who had absconded from prison, but was still being supported by the legal aid fund. The board might at least have said, "If you come back to prison, we will carry on funding you."
Only yesterday, we read about the disgraceful case of an individual suing the national health service because he has not died on time. It is a new concept of medical negligence--"You told me I would live for six months, but I have lived for three years. I am going to sue you, and it will be funded by the legal aid fund." The thought of taxpayers' money being used to sue the national health service for keeping someone alive beggars belief. I am glad to hear that my hon. Friend has called in the chief executive of the Legal Aid Board to discuss the matter.
Our constituents feel that the Legal Aid Board has not been a good judge of the quality of cases. The basic principle of legal aid--that no one should be denied access to justice--has been subverted in civil legal aid cases, because the legally aided litigant can blackmail his opponent. Such litigants know that, win or lose, they will not be out of pocket, but their opponents know that, win or lose, they will.
In the north-west, people have sued chief constables for wrongful prosecutions. The insurers told the defendants that it was cheaper to settle than to continue the cases. Defendants have to calculate how much to offer, because the legal aid certificate might be withdrawn at that stage. They have to try to work out an absurd equation: will it be cheaper to fight or settle a case which logically they know that they can win but in respect of which they could lose financially?
In my constituency, there was the case of a partnership that had broken down. One partner sued the other. The party that was being sued was told by his lawyer that he had a wonderful case and would win. He fought it and won, but he was substantially out of pocket because of the legal costs. While the Legal Aid Board is sometimes asked to contribute toward the cost of a successful defendant, the number of cases in which that happens is negligible. A written answer on 16 October 1995 stated that, in 1994-95, help had been given in 158 cases; in 1993-94, the figure was 186.
There is a feeling that the wrong people have sometimes obtained legal aid. It is a scandal that some very well-heeled individuals have managed to get it. One thinks of Mr. Ernest Saunders, the man who made the miraculous recovery from Alzheimer's disease--"Guinness is good for you, it cures Alzheimer's". He was reconciled with his wife and her assets once he no longer needed legal aid.
There was Mr. Gordon Foxley, who short-changed the taxpayer when he was employed at the Ministry of Defence, and did so again when he applied for legal aid, despite owning houses and cars and seeming to have substantial assets. Those people's legal bills, which were often substantial, were paid by taxpayers who live in much less salubrious homes. Why should the not-so-well-off be asked to pay the legal bills of people with luxurious life styles?
The generosity of the legal aid scheme knows precious few limits. The most absurd case was that of the German inventor, who lived in Germany but sued Sony in the British courts. He will never pay one deutschmark of tax to Britain, but he received £500,000 in legal aid. That is a disgrace. I was sorry to read in the White Paper that the Government are going to consult on whether overseas residents who bring legal actions in the British courts should get legal aid. The Minister can consult me at any time of the day or night, and my answer will be no. Those who are not British taxpayers, owe no allegiance to the Crown or have no residence in this country should not qualify for legal aid.
It is also felt that there has been some fraud that the Legal Aid Board has not been good at detecting. On 2 February, a written answer in column 260 of the Official Report gave the number of representations about fraudulent applications for civil legal aid. In 1991-92, there were only 2,775; by 1995-96, it was estimated that there would be 15,000. There have been many representations but very few prosecutions.
In a written answer of 18 July 1995, at column 1013, the then Parliamentary Secretary said that the number of applicants investigated for false declaration of means in 1987-88 was nil; in 1988-89, nil; in 1989-90, nil; and in 1990-91, six. The figure reached 15 in 1993-94, and 25 in 1994-95. The reply then said that the number of assisted persons prosecuted under section 39 of the Legal
Aid Act 1988 over the same period was nil until 1991-92, when we had a dynamic year and two were prosecuted. The figure returned to nil the next year, and, in 1993-94 and 1994-95, the Crown Prosecution Service went into overdrive and managed to prosecute two people in each year.
More recently, on 22 May this year, a parliamentary answer on fraud said that, in 1995-96, 29 cases were referred to the police in respect of civil legal aid, and, in respect of criminal legal aid, five assisted persons had been referred to the police. The number of applications for criminal legal aid runs into hundreds of thousands, and we are asked to believe that those chaps who are accused of crimes suddenly become terribly honest when they fill out the legal aid form. I just do not believe it.
Let us look at the cost of some of those cases. We were told on 26 February that, to date, the Maxwell case had cost the taxpayer £8.3 million. We can console ourselves with the thought that that includes an element of VAT, but it is still a large sum, which causes concern to taxpayers.
I congratulate my hon. Friend the Member for Corby (Mr. Powell), who asked on 1 May how much money had been paid to certain firms. In 1993-94, Robinsons topped the list of legal aid millionaires, because it received £3.2 million. It did not do quite as well the following year, when the figure was topped by Leigh Day and Company, which received £8.3 million from the legal aid fund. Those figures cause concern to taxpayers.
Another worry about the legal aid fund is part of a wider concern: that the costs and delays involved in legal action mean that the very rich can afford legal action; the very poor can afford it through legal aid; but middle England, middle Scotland and middle Wales find it very much more difficult. That is why I welcome the imminent report by Lord Woolf, which will speed up justice and thereby make it cheaper. That will help everyone--the legal aid fund and the rest of us who may from time to time have to litigate.
Today's publication of the White Paper is a fortuitous coincidence, and it enables me to comment briefly on it. I welcome the fact that the Government withdrew legal aid from the apparently wealthy, because nothing did more to bring the legal aid fund into contempt than the sight of very wealthy individuals living in large, luxurious homes, with a nice life style, being funded by people on much more modest means. There is no doubt that the legal aid fund gives the impression of being a juggernaut out of control, and the Legal Aid Board gives the impression of having a strange order of priorities. That is why I welcome some of the comments in the White Paper.
I welcome the fact that the White Paper is the first document for a long time that has emphasised the need to get value for money and financial control in the legal aid system. I also welcome the fact that the Lord Chancellor has said that he will lay down priorities within civil and family legal aid, and that, as one would expect from him, his main priorities will be the protection of children and the detention of mental patients.
I welcome the fact that there will be criteria for deciding whether cases should be supported. One criterion is the chance of winning the case. My God, that should have been a criterion from the start. The importance of the case, and the likely cost compared to the likely benefit--those should have been criteria from the start.
I welcome the statement in paragraph 2.21:
I welcome the fact that, in civil legal aid, everyone will be expected to make a minimum contribution toward the cost of the case. That may deter some, but I still think that there is an unequal balance between the legally aided litigant and the person who must fight a case against him. It is true that, in the White Paper, the Government propose that, if the successful party suffers financial hardship, he will get some help, which he has not received until now, but I suspect that he will still suffer for winning, and that is not right.
I welcome the fact that other agencies besides barristers and solicitors are to benefit from the proposals, because one of the big growth areas of civil legal aid has been matrimonial legal aid, which grew from £87.5 million in 1989-90 to £266 million in 1993-94.
I especially welcome the publication of the White Paper, and the determination that the Lord Chancellor and the Parliamentary Secretary have shown in carrying out this desire to get value for money, to bring common sense back into the operation of the legal aid system.
As the White Paper says,
That the draft Community Service by Offenders (Hours of Work) (Scotland) Order 1996, which was laid before this House on 11th June, be approved.
That the Local Government Finance (England) Special Grant Report (No. 21) (House of Commons Paper No. 431), which was laid before this House on 7th June, be approved.--[Mr. Bates.]
Question agreed to.
That this House takes note of European Community Document Nos. 6141/96, relating to a third multi-annual programme for small and medium sized enterprises (SMEs), and 6929/96, relating to loan guarantees for investments by SMEs creating employment; recognises the important economic role that SMEs play throughout the European Union and supports the Government's intention to support the proposals for the multi-annual programme, subject to satisfactory agreement with the Commission and other Member States about the detailed contents of the programme and the level of the programme budget, and to examine further the proposals relating to loan guarantees for investment by SMEs creating employment.--[Mr. Bates.]
Question agreed to.
Legal Aid
11.15 pm
"Once a case is in progress, the provider will be able to withdraw legal aid if the circumstances . . . such as the chance of winning change so that it is no longer worth pursuing."
I am sure that that will be welcomed throughout the country.
"We need to restore confidence that the scheme is fair and excludes weak or trivial cases."
If my right hon. and hon. Friends can do that, they will be doing a service to justice throughout this country.
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