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Lord Higgins: My Lords, I am most grateful to the noble Baroness, who has set the matters out very clearly so that it has helped to clarify the position. We will need to consider what she has said between now and Third Reading, but in the meantime, I beg leave to withdraw the amendment.

Amendment, by leave, withdrawn.

[Amendment No. 36 not moved.]

Baroness Hollis of Heigham moved Amendment No. 37:

Page 9, line 7, after ("which") insert (", subject to subsection (5) below,")

The noble Baroness said: My Lords, this is something else that I am confident your Lordships will welcome tonight because the amendments of which Amendment No. 37 is the first implement one of the recom- mendations of the Select Committee on Delegated Powers and Deregulation. In response to an amendment moved in Committee, I said that I would reflect further on the issue and would return to this matter at Report stage.

As your Lordships can see, the Government have reflected on the issue. We recognise that an extension of childcare through this two-tier system of accredited organisations and local providers in Clause 15 is a major new development of government policy and one which has been widely welcomed. Given what I said in Committee, that I would reflect on whether as a result the Government should come forward with an amendment to the effect that the first set of regulations should be affirmatives, we have an opportunity, as a House, fully to discuss what I think is extremely good news in terms of extending the range of childcare for able-bodied and disabled children alike.

Consequently we have tabled this amendment to do what noble Lords asked me to do but set out in a form which we think would best fit the structure of the Bill and which would satisfy the necessary drafting conventions for such things. It would do no more and no less than the amendment tabled by the noble Lord, Lord Goodhart, and the noble Earl, Lord Russell, in Amendment No. 38, but it is framed in what we hope and believe is a more appropriate and certainly a more technically valid form. In the light of that, I have pleasure in moving Amendment No. 37.

Lord Goodhart: My Lords, my Amendment No. 38 is grouped with this amendment and of course it is now

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rendered unnecessary by Amendments Nos. 37 and 39. I would say just two things, as this is the last group of amendments at Report stage. I am very glad that we will be able to finish tonight while it is still the noble Baroness's birthday--

Baroness Hollis of Heigham: Indeed, my Lords, I bring "presence" to the House rather than receiving them.

Lord Goodhart: Always, my Lords, always. Secondly, I would like to say that of course I am very pleased to see that in this case the recommendation of the Delegated Powers and Deregulation Committee has been accepted. I am very glad that the Department for Education and Employment has taken what I would regard as a more reasonable and helpful view than that of the Inland Revenue. Therefore, I warmly welcome these particular government amendments.

Lord Higgins: My Lords, the intervention of the noble Baroness has taken my punch line. I believe that at the beginning of the Committee stage reference was made to Alice in Wonderland and the way in which words meant what somebody said they meant. We began by debating whether benefits should be known as tax credits. We end up with an equally good quotation from Alice in Wonderland, the exact words of which I am unable, unfortunately, to bring

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to mind. However, I recall that at some stage in the proceedings someone announces that everyone will have presents.

Lord McIntosh of Haringey: My Lords, perhaps the noble Lord has in mind the caucus race in which everyone shall win and have prizes.

Lord Higgins: My Lords, the noble Baroness got the previous amendment and we have this one, so we are all very happy. Once again, I wish the noble Baroness a happy birthday.

On Question, amendment agreed to.

[Amendment No. 38 not moved.]

Baroness Hollis of Heigham moved Amendment No. 39:

Page 9, line 9, at end insert--
("(5) A draft of the first regulations to be made under this section shall be laid before each House of Parliament and those regulations shall not be made unless the draft has been approved by a resolution of each House.")

On Question, amendment agreed to.

Clause 20 [Short title, commencement and extent]:

Baroness Hollis of Heigham moved Amendment No. 40:

Page 10, line 33, leave out ("and section 19(1)") and insert (", subsections (2) and (4) to (9) of section (Persons qualifying for disabled person's tax credit) (and subsection (1) of that section, except so far as relating to subsection (3)) and subsection (1) of section 19")

On Question, amendment agreed to.

        House adjourned at sixteen minutes past eleven o'clock.

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