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Insolvency Service: Performance Targets
The Parliamentary Under-Secretary of State, Department of Trade and Industry (Lord Sainsbury of Turville): My honourable friend the Parliamentary Under-Secretary of State for Employment (Jim Fitzpatrick) has made the following Written Ministerial Statement.
The Insolvency Service plans to deal with some 72,000 new insolvencies in the year to 31 March 2007 including a significant increase in personal bankruptcies. Its planning assumption for the level of redundancy payments and other insolvency-related claims is 95,000.
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In support of the policy that bankrupts who can make a contribution for the benefit of their creditors should do so, official receivers have been asked to ensure that, as last year, at least 17 per cent of bankrupts agree or are ordered to make such payments. Action will continue to be taken against bankrupts and company directors in respect of financial misconduct or dishonesty and Companies Investigation Branch, part of the agency from 1 April 2006, will continue to investigate the affairs of companies in the public interest.
The service's new financial regime, put in place by the Enterprise Act 2002, will be reviewed in this, its third year and it is likely that new targets relating to unit costs and fees will be agreed as a result. The service is required to balance its case administration costs and income over the three-year period.
I have also set the Insolvency Service the following targets for the year 2006-07:
In addition to these targets, the service is required to meet centrally promulgated targets relating to replying to correspondence from honourable Members, making payments to suppliers and reducing sick absence levels.
Partnerships Law: Reform
The Parliamentary Under-Secretary of State, Department of Trade and Industry (Lord Sainsbury of Turville): My right honourable friend the Minister for Trade Investment and Foreign Affairs (Ian McCartney) has made the following Written Ministerial Statement.
The Law Commission and the Scottish Law Commission published a report on partnership law reform in November 2003 (Law Com No 283; Scot Law Com No 192). It included recommendations in respect of general partnership law and limited partnership law, together with a draft Bill designed to replace both the Partnership Act 1890 and the Limited Partnerships Act 1907. I am very grateful for the Law Commissions’ detailed and thorough work.
The DTI followed this with a consultation document on the economic impact of reform of partnership law. Respondents to the consultation were divided on the economic benefits of the proposed reforms to the business community. A summary of responses is being published on the DTI website at www.dti.gov.uk/bbf/
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The Government have carefully considered the report from the Law Commissions and the consultation responses, and intend to bring forward proposalsfor the reform of limited partnership law based onthe Law Commissions' recommendations. The recommendations for limited partnership reform have been widely supported and there is a strong economic case for taking them forward. The reforms are not dependent on the proposed reforms for general partnership law, which the Government have decided not to take forward at this time.
The Government aim to take forward the reforms to limited partnership law by means of a regulatory reform order when parliamentary time allows, and to publish a consultation document containing draft clauses shortly.
National Identity Scheme: Procurement Strategy
The Minister of State, Home Office (Baroness Scotland of Asthal): My honourable friend the Parliamentary Under-Secretary of State for the Home Department (Joan Ryan) has made the following Written Ministerial Statement.
Feedback from industry on the procurement strategy for the national identity scheme has reinforced the importance of avoiding a big-bang implementation and supports the incremental approach to the scheme. The Home Office report on the feedback will be published in August. Intellect, the trade association for the UK hi-tech industry, has also produced a report on the procurement strategy as part of its concept viability process. Copies of both reports will be placed in the Libraries of the House on publication. The documents will also be made available via the Identity and Passport Service website, www.ips.gov.uk.
Northern Ireland: Liquor Licensing
The Minister of State, Department for Environment, Food and Rural Affairs (Lord Rooker): My honourable friend the Minister of State for Northern Ireland (David Hanson) has made the following Ministerial Statement.
This Statement sets out my plans to reform liquor licensing law in Northern Ireland. The last review of the law governing liquor licensing and registered clubs took place some 10 years ago. Since then the social and economic climate in Northern Ireland has changed and improved immensely. The peace dividend has altered the shape of the tourism and hospitality sectors and of town and city centres. There is great potential for further growth, and liquor licensing law must keep pace with these developments and with modern expectations.
Coupled with that is the need for a more transparent, accountable and better regulated framework for the licensed trade. There are clear anomalies in the current licensing system and a requirement for greater enforcement
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The consultation on proposed changes to the existing legislation was launched in November 2005. Since then I have had a number of discussions with political representatives and other interested parties. There has been support from both local political parties and the licensed trade for many of my proposals. Concerns have been expressed by politicians and parts of the licensed trade regarding two of the proposed changes. These are the transfer of responsibility for liquor licensing from courts to district councils and the abolition of the “surrender” principle. I welcome the views that have been put and now confirm that my plans for the reform of the law on liquor licensing and registered clubs in Northern Ireland are as follows:
The introduction of six new objectives to underpin licensing policy, legislation and regulation. These are: promotion of public health; promotion of public safety; prevention of crime and disorder; prevention of public nuisance; protection of children from harm; and fair treatment of all stakeholders.New, more effective enforcement measures, including immediate temporary closure powers for the police, a penalty points system for licensees who break the law and new council liquor licensing officers.Moving responsibility for granting and renewing licences and certificates of registration from courts to district councils, leading to a more accountable, transparent system.Replacing the current 12 categories of licences in favour of a dual system of personal and premises licences.Abolishing the provision which requires an existing licence for a pub or off-licence to be “surrendered” to a court before a new one may be granted. This will be subject to an assessment of the business impact of my proposal which will help to decide how this is addressed in the second stage of reforms. I hope it will be the Northern Ireland Assembly that will consider these matters.A voluntary proof-of-age scheme and more flexibility to allow under-18s in certified licensed premises and registered clubs when accompanied by responsible adults.A modest extension of current opening hours for licensed premises and registered clubs, creating scope for opening up to 2 am Monday to Saturday. Sunday opening hours will remain unchanged as will opening hours for off-licences.Revoking the financial controls and accounts formats for registered clubs, prescribed in the Registration of Clubs (Accounts) Regulations (Northern Ireland) 1997, in favour of best practice guidance.The proposals will give police the powers they need to crack down on irresponsible drinkers and rogue traders and make the licensing system more transparent and accountable, giving communities more information and a louder voice in decision-making.
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Allowing licensed premises and registered clubs to apply to the courts to extend their opening hours up to 2 am is the result of careful consideration of the changes in people's social habits and the opportunities available for developing the night time economy. I have listened very carefully to the arguments made by the licensed trade, the police, health interests and others, and balanced the economic and social advantages of extending opening hours with the public interest and public safety. Accordingly, I have decided that opening to 2 am will be available to those licensed premises entitled under existing law to apply for later opening but not to off-licensed premises.
Transferring responsibility for granting liquor licences and club certificates from a court-based system to district councils will create a more accountable system where pubs, off-licences, registered clubs and other licensees will have to explain in detail how their businesses will support the six licensing objectives. There have been concerns expressed about the ability of councils to administer a new liquor licensing system. However, councils already operate a number of regulatory systems including entertainments licensing and street trading, and their range of responsibilities will be greatly enhanced under the Review of Public Administration. The capacity of new councils to undertake these new responsibilities is an issue that is being addressed in the period leading up to the full implementation of the Review of Public Administration. I wish to reassure those concerned that responsibility for liquor licensing will move to councils only once they have built the capacity to administer the new system.
The new system will operate under clear guidelines that will be issued to councils. They will be required to produce a Statement of Licensing Policy that clearly articulates how they plan to control liquor licensing in line with the six licensing objectives. There will be further safeguards. Before councils reach a decision they will have to seek the views of responsible authorities and interested parties such as the Police Service of Northern Ireland, local residents and local businesses. All applications for a licence will be open to objection and a licence may be reviewed, revoked or suspended at any time if there is cause for concern. Those seeking a premises licence will be required to produce an operating plan setting out the nature of the business for approval by councils, and the need for any new licence will have to be clearly demonstrated.
I am replacing the current 12 categories of licence with a dual system of personal and premises licences. This will result in a more robust licensing regime. Personal licences are being introduced for the first time to ensure that those managing licensed premises have accredited qualifications and demonstrate clean backgrounds. This will improve operating standards across the licensed trade and protect against infiltration by those involved in organised crime.
The surrender provision has created anomalies in the licensed trade. At present only pubs and off-licences are required to surrender a licence before being granted a new one. This has capped the overall number of such premises in Northern Ireland, but it has not prevented the growth of alcohol sales in other premises such as large hotels, nor the clustering of pubs and off-licences
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I have listened to the views of local politicians and parts of the licensed trade about the implications of the abolition of surrender. In response to their concerns, I will commission an assessment of the business impact of abolition before making any further decision on the way forward.
I intend to implement some of the proposals as soon as possible. Those relating to enforcement, opening hours, children and registered clubs' accounts should come into effect by Christmas 2007, and draft legislation will be consulted on in Autumn 2006.
With regard to the move to councils, I intend to defer the consideration of this aspect of the legislation, along with some of the other proposals that depend on the new system being operational, to a second, later legislative vehicle. The Review of Public Administration is due for completion in 2009 and the target date for making legislation to transfer responsibility for licensing from courts to district councils and for the introduction of new licensing objectives will be linked to this. This tranche of legislation will also see the abolition of the existing categories of licence and, subject to an impact assessment, the surrender provision. The final decisions on this will, I hope, be taken by a devolved Assembly, should it be successfully restored.
I believe this is a balanced package of measures that weighs up the rights, needs and demands of the various interested parties. They will bring licensing law in Northern Ireland up to date, both to deal more effectively with the alcohol-related problems we currently face and to meet modern day expectations. They will result in a more democratic approach that allows local people to have greater influence in how and where the licensed trade operates. They will promote a safe, welcoming environment in town and city centres where the evening and night-time economy can flourish and will encourage investment, variety and high standards of service in the hospitality, tourism and entertainment sectors.
Parental Compensation Order
The Minister of State, Home Office (Baroness Scotland of Asthal): My honourable friend the Minister for Policing, Security and Community Safety (Tony McNulty) has made the following Written Ministerial Statement.
The Parental Compensation Order (PCO) is provided for by Sections 13A to 13E of the Crime and Disorder Act 1998 (CDA 1998) which were inserted bySection 144 of and Schedule 10 to the Serious Organised Crime and Police Act 2005.
The PCO powers will be commenced initially in 10 local authority areas (Gateshead, Hampshire, Hertfordshire, Nottinghamshire, Worcestershire, Wandsworth, Southwark, Leicester, South Tyneside and York). The use, impact and cost of the PCO will be evaluated as part of the wider use of early intervention.
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Attempts to secure voluntary reparation should always be made. The PCO should be used only where that approach fails and when its use would be desirable in the interests of preventing a repetition of the behaviour in question. However, we hope that the existence of the PCO will encourage reparation and wider behavioural change on a voluntary basis.
By requiring the parent(s) or guardian(s) to pay compensation, the PCO is designed to provide compensation to those affected and to prevent further behaviour by the child of the type which caused the order to be made. The PCO will therefore encourage parents and their children to understand their responsibilities and to take responsibility for behaviour.
A PCO is designed to be used as part of a wider strategy to increase the parents' skills and improve their child's behaviour, to address risk factors and underlying problems experienced by the child and family, to steer the child away from involvement in anti-social or offending-type behaviour, to keep the child safe and to encourage positive outcomes.
A magistrates’ court may make a PCO on application from a local authority when it is satisfied:
that the child (who must be under 10) has taken, or caused loss of or damage to property in the course of(a) committing an act which, if he had been aged 10 or over, would have constituted an offence; or(b) acting in a manner that caused or was likely to cause harassment, alarm or distress to one or more persons not of the same household as himself; and that it would be desirable to make the order in the interests of preventing a repetition of the behaviour in question.Before making an order, the court must consider:
(a) the views of the person affected by the damage, loss etc. about whether an order should be made in his favour; and(b) the child's family circumstances and the likely effect of the order on those circumstances.It follows that local authority practitioners should form a view about the suitability of a PCO following assessment of the child, parents and family circumstances and in light of experience of trying to resolve the dispute on a voluntary basis. The PCO would be a viable option only with the support of the person affected by the damage, loss etc.
The effect of a PCO is to require the parent(s)/guardian(s) of the child to pay compensation to the person affected. Compensation is limited to £5,000. In deciding the level of compensation the court must take into account:
(a) the value of the damage etc. caused to property by the child;(b) any further loss which flowed from the taking of or damage to the property, or from its loss;(c) whether the child or parent has already paid any compensation, and if so how much;(d) whether the child or parents have made any reparation, and if so what it consisted of;(e) the means of the parents; and20 July 2006 : Column WS122
The court is responsible for enforcement of the order and has the same enforcement powers as it does for fines.
The court can make a parenting order when making a PCO provided this would be desirable in the interests of preventing a repetition of the kind of behaviour which led to the PCO being made.
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