Written Answers
Thursday 24 May 2012
Banking
Question
To ask Her Majesty’s Government what assessment they have made of the lessons for the regulation of United Kingdom banks arising from the recent losses at JPMorgan Chase & Co.[HL130]
The Commercial Secretary to the Treasury (Lord Sassoon): The precise details of the recent losses at JPMorgan Chase & Co are still emerging and the Treasury is monitoring events closely.
However, these losses demonstrate the importance of the Government's measures to strengthen regulation of the financial services sector and implement the recommendations of the Independent Commission on Banking (ICB).
In respect of the implementation of the recommendations of the ICB, the Government will publish their White Paper on 14 June and have committed to have all legislation in place by the end of this Parliament.
Gambling: Cheating
Question
To ask Her Majesty’s Government whether plans are in place to review the definition of cheating contained in the Gambling Act 2005, as recommended in the review of sport betting integrity chaired by Rick Parry.[HL88]
Baroness Garden of Frognal: The relatively small number of reported cases and completed investigations into alleged cheating at gambling mean that there is currently insufficient evidence on which to assess the effectiveness of that provision. We will, however, continue to work with the Gambling Commission to ensure that the right offence provisions are in place to address criminal activity relating to the integrity of sports betting.
Gambling: Corruption
Question
To ask Her Majesty’s Government whether they will make further funds available for the protection of sport from corrupt betting practices, in line with the funding for anti-doping initiatives.[HL89]
Baroness Garden of Frognal: The sports' governing bodies themselves have the primary responsibility for countering threats to sporting integrity and to ensure effective processes are in place for participants to
report suspicious activity. The Gambling Commission, which is funded through gambling industry licence fees, regulates the British betting industry and works closely with sports governing bodies to share information and intelligence. The Government's role is to ensure that the appropriate statutory framework is in place and, to strengthen this, we are currently amending Schedule 6 to the Gambling Act to increase the number of sporting organisations with which the Gambling Commission can share intelligence about suspicious betting activity.
Gambling: Licensing
Question
To ask Her Majesty’s Government whether they will implement plans to introduce a licensing regime for betting which is based on the point of consumption; and, if so, when.[HL87]
Baroness Garden of Frognal: Her Majesty's Government announced to Parliament on 14 July 2011 that they are committed to requiring overseas-based remote gambling operators that interact with British consumers to be licensed by the Gambling Commission. The Government will bring forward proposals for Parliament's consideration as soon as the legislative programme allows.
Housing
Questions
To ask Her Majesty’s Government what guidance the Department for Communities and Local Government provides for registered social landlords on the imposition of administration fees on charges for communal energy costs.[HL341]
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Hanham): The Department for Communities and Local Government does not provide any specific guidance to private registered providers of social housing (previously known as registered social landlords) in respect of the imposition of administration fees on charges for communal energy costs.
The regulatory framework issued by the Homes and Communities Agency (as the regulator of social housing) requires registered providers to provide clear information to their social housing tenants explaining how any service charges are set.
Where landlords, including registered providers, are able to recover administration charges from leaseholders under the terms of a lease, as well as charges towards the upkeep and maintenance of common parts of a building and the costs of management, the law requires that the amounts demanded are payable only where they are reasonably incurred. If the charges being demanded are not believed to be reasonable, a leaseholder has the right to apply to an independent leasehold valuation tribunal to determine payability.
To ask Her Majesty’s Government how many (1) social rented homes, (2) intermediate rent homes, and (3) low cost home ownership homes, were built in the London Borough of Tower Hamlets in (a) 2010–11, and (b) 2011–12.[HL343]
Baroness Hanham: Statistics on gross additional affordable housing delivered in each local authority area are published by the department at http://www.communities.gov.uk/housing/housingresearch/housingstatistics/housingstatisticsby/affordablehousingsupply/livetables/.
New affordable housing can be delivered through new build and acquisitions, although the majority of the additional supply in 2010-11 in Tower Hamlets was through new build. Data on total affordable supply in each local authority area for 2011-12 will be published by DCLG in the autumn.
The Homes and Communities Agency publishes statistics covering housing starts and completions delivered through its programmes. Data for the first six months of 2011-12 were published in November 2011, but exclude affordable housing supply provided outside their programmes. The Homes and Communities Agency is due to publish its 2011-12 figures on 12 June 2012.
Housing: Leaseholders
Question
To ask Her Majesty’s Government what plans they have to increase public understanding of the means of redress for leaseholders in dispute with their freeholder or managing agent.[HL342]
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Hanham): The Government recognise the importance of leaseholders being able to understand their rights and means of redress when a dispute arises with their landlord or managing agent.
Free initial advice and information on residential leasehold law and the rights available is therefore made available through the Leasehold Advisory Service (LEASE), which also seeks to increase wider public awareness where possible.
In 2011-12, LEASE dealt with over 40,000 individual inquiries. In addition, over 693,000 visits were made to the LEASE website, and over 547,000 of LEASE's guidance booklets and 491,000 of its frequently asked questions were downloaded from the LEASE website.
Landlords and managing agents are also required by law to provide leaseholders with a prescribed summary of their rights and obligations, when demanding service charges or administration charges from them.
Imports and Exports
Question
Asked by Lord Alton of Liverpool
To ask Her Majesty’s Government what are the trading figures for exports and imports between Sudan and the United Kingdom over each of the past 10 years.[HL264]
The Minister of State, Department for Business, Innovation and Skills & Foreign and Commonwealth Office (Lord Green of Hurstpierpoint): Data on exports and imports between Sudan and the UK are shown in the tables below, for goods and services separately. These data are available in publications from HM Revenue and Customs and the Office for National Statistics.
| UK Trade in Goods with Sudan | ||
| UK Exports to Sudan | UK Imports from Sudan | |
| £m | £m | |
Source: HMRC Overseas Trade Statistics uktradeinfo.com
| UK Trade in Services with Sudan | ||
| UK Exports to Sudan | UK Imports from Sudan | |
| £m | £m | |
Source: ONS Pink Book (2007, 2008, 2009, 2010 and 2011 editions). Data prior to 2005 are not available. Data for 2011 are planned for release in July 2012
To ask Her Majesty’s Government which government department is taking the lead on the implementation of Iranian oil shipping sanctions.[HL279]
The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Baroness Wilcox): The Department for Business, Innovation and Skills is the lead department for the implementation of the restrictions on the import, purchase and transport of Iranian oil set out in Articles 11 and 12 of Council Regulation (EU) 267/2012.
Internet: Broadband
Question
To ask Her Majesty’s Government what assessment they have made of the availability of the engineers needed to meet the targets for provision of high speed broadband in rural areas.[HL61]
Baroness Rawlings: It would be for suppliers to ensure that they have sufficient resource capacity to deliver any projects for which they are bidding. Broadband Delivery UK (BDUK) is responsible for ensuring that all suppliers on the broadband delivery framework have provided the necessary assurances that they have sufficient resource capacity to deliver projects and local authorities are responsible for ensuring that suppliers selected outside the framework have sufficient resource capacity to deliver projects. BDUK has put in place a process to assure and monitor the progress of all projects in receipt of funding from them.
Legislation
Question
Asked by Lord Willoughby de Broke
To ask Her Majesty’s Government whether their commitment in the Queen's Speech to repeal unnecessary legislation will include European Union legislation which has been transposed into United Kingdom law.[HL174]
The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Baroness Wilcox): The Coalition Programme for Government commits the Government to ending the so-called gold-plating of EU rules, so that British businesses are not disadvantaged relative to their European competitors. Gold-plating of EU law, as transposed in the UK, can be removed through the use of existing powers, notably those in the European Communities Act 1972.
Olympic Games 2012
Question
To ask Her Majesty’s Government what discussions they have had with the British Hospitality Association about the cost of hotel rooms in London during the 2012 Olympic Games.[HL86]
Baroness Garden of Frognal: The Department for Culture, Media and Sport (DCMS) and VisitBritain have held a number of discussions with the British Hospitality Association about hotel room pricing during the London 2012 Games.
The tourism industry recognises the need to provide value for money and there remains good value for those people looking to book accommodation. The “20.12%” discount campaign which has recently been launched by VisitEngland (http://www.visitengland.org/2012offers/index.aspx) is a £5 million domestic marketing campaign offering discounts of at least 20.12% on prices. This includes accommodation in London. A new
London visitor charter will see some of the biggest names in the capital's tourism and leisure sectors commit to fair pricing for visitors throughout the 2012 Games. This will help reassure tourists they are getting value for their money during their stay in the capital. This complements the Fair Pricing and Practice Charter http://www.tourism20l2games.org/fair-pricing-practice-charter/ in place around the rest of the country.
We know that London hotel prices would normally increase in the peak summer months, and the Games are being held at a time when London is typically very busy. As hotel prices fluctuate on a daily basis, we cannot be certain what the precise cost of a room will be come July and August. Hotel prices respond to the strength or weakness of demand, meaning that if demand is strong, prices will often reflect this.
Once the Olympics have started, “spot” prices for immediate bookings may be higher in some places; however, this will affect only a small proportion of people attending, as most will have booked well in advance. Consequently we expect that the average hotel room pricing during the Olympics will be very good value for money.
Taxation: Fraud
Questions
Asked by Lord Kennedy of Southwark
To ask Her Majesty’s Government what is their assessment of the amount of tax lost to HM Revenue and Customs due to wine duty fraud, and how this estimate was reached, for each year from 1992 until the last year for which records are available.[HL97]
To ask Her Majesty’s Government what is their assessment of the amount of duty lost to HM Revenue and Customs due to beer duty fraud, and how this estimate was reached, for each year from 1992 until the last year for which records are available.[HL98]
To ask Her Majesty’s Government what is their assessment of the amount of duty lost to HM Revenue and Customs due to spirit duty fraud, and how this estimate was reached, for each year from 1992 until the last year for which records are available.[HL99]
To ask Her Majesty’s Government what is their assessment of the amount of duty lost to HM Revenue and Customs due to tobacco duty fraud, and how this estimate was reached, for each year from 1992 until the last year for which records are available.[HL100]
To ask Her Majesty’s Government what is their assessment of the amount of duty lost to the HM Revenue and Customs due to fuel smuggling, and how this estimate was reached, for each year from 1992 until the last year for which records are available.[HL101]
To ask Her Majesty’s Government what is their assessment of the amount of duty lost to the HM Revenue and Customs for all forms of smuggling, and how this estimate was reached, for each year from 1992 until the last year for which records are available.[HL102]
The Commercial Secretary to the Treasury (Lord Sassoon): HMRC estimates losses in revenue associated with illicit sales of beer, spirits, tobacco products and oils. These are published in chapters 3, 4 and 5 of Measuring Tax Gaps 2011, available online here: http://www.hmrc.gov.uk/stats/measuring-tax-gaps.htm
Figures for tobacco products and oils are published for each year from 2000-01 to 2009-10, for spirits each year from 2001-02 to 2009-10 and for beer each year from 2002-03 to 2009-10. Estimates are not available for earlier years.
For beer, more recent and improved estimates were published in Improved Beer Tax Gap Estimate: Lower Bound (http://www.hmrc.gov.uk/stats/beer-tax-gap-feb2012.pdf).
The methodologies used for producing each of these tax gap estimates can be found in the accompanying methodological annex (http://www.hmrc.gov.uk/stats/mtg-annex2011.pdf).
Estimates of the illicit market for wine are not available.
Separate estimates of duty losses due to smuggling are not made as the estimates of the total illicit market cannot be broken down into their component parts.
UK Life Sciences
Question
Asked by Lord Willis of Knaresborough
To ask Her Majesty’s Government what progress they have made in the implementation of the strategy for UK Life Sciences; and when an implementation plan will be published.[HL318]
The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Baroness Wilcox): The Government are committed to early delivery of the strategy for UK Life Sciences. We have appointed two independent Life Sciences champions, Sir John Bell and Chris Brinsmead, to oversee and drive implementation forward.
Early achievements on implementing the various commitments in the strategy include:
The launch of the Biomedical Catalyst jointly administered by the Technology Strategy Board and Medical Research Council. This three-year £180 million programme opened for applications in April 2012 to UK businesses (SMEs) and academics looking to develop innovative solutions to healthcare challenges either individually or in collaboration. It will support the maturation of an idea from concept to commercialisation;the Clinical Practice Research Datalink was launched on 28 March 2012. This provides researchers with access to patient data for clinical trials recruitment and observational studies;Clinical Trials Gateway website and mobile applications for iPhone, iPad and android devices have been launched. The website will provide patients and the public with information about clinical trials in the UK, with the anticipation that this will lead to patients feeling empowered to participate in clinical research; and
at Budget 2012 the Government confirmed the launch of the Patent Box from April 2013. This will be phased in over five years from 2013 to give a reduced 10%.
We have committed to publishing progress on implementing the strategy via a formal annual report. In addition, the Life Sciences champions report regularly on progress to Ministers and, every six months, to the Prime Minister.
Water Supply: Pipe Leakage
Questions
Asked by Lord Lester of Herne Hill
To ask Her Majesty’s Government, further to the Written Answer by Lord Taylor of Holbeach on 16 May (WA 10), whether the targets of water companies in England and Wales to reduce leakages by a total of 97 million litres per day between 2009–10 and 2014–15 give rise to legally enforceable duties.[HL274]
The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord Taylor of Holbeach): If a company fails its leakage target, Ofwat, the independent regulator, looks at the underlying reasons for failure, what steps the company has taken to deal with it and the impact this has had on customers. Formal enforcement action is pursued after a number of informal steps are taken. In the case of leakage target failure, Ofwat can:
obtain a formal undertaking from a company (under Section 19 of the Water Industry Act 1991);use wider enforcement powers (such as the power to impose financial penalties under Section 22(a) of the Water Industry Act 1991) in the case of failure to deliver against a formal undertaking;obtain informal undertakings from a company to invest in further leakage control; andrequire regular progress reports to demonstrate performance is returning to target.
Asked by Lord Lester of Herne Hill
To ask Her Majesty’s Government, further to the Written Answer by Lord Taylor of Holbeach of 16 May (WA 10), what is the target for Thames Water on reducing leakage by 2014; and what are the sanctions if the target is not met.[HL275]
Lord Taylor of Holbeach: Thames Water's leakage target in 2013-14 is 673 megalitres per day. In the event of leakage target failure, Ofwat can:
obtain a formal undertaking from a company (under Section 19 of the Water Industry Act 1991);use wider enforcement powers (such as the power to impose financial penalties under Section 22(a) of the Water Industry Act 1991) in the case of failure to deliver against a formal undertaking;obtain informal undertakings from a company to invest in further leakage control; andrequire regular progress reports to demonstrate performance is returning to target.