Deregulation: Public Services and Health and Safety — House of Lords, 2017-07-13
Topic: Environment
Christopher Smith (Non-Affiliated, Unknown): My Lords, I begin by warmly thanking the noble Baroness, Lady Andrews, for initiating this important debate and for her excellent opening contribution. What a remarkable series of rather formidable contributions we have already heard this morning, because this debate, of course, is at heart all about safeguarding the lives and well-being of all of us—and there is nothing more important than that I will focus on the importance of environmental regulation and protection—something that the noble Baroness, Lady Young, and the noble Lord, Lord Whitty, also did. I was chairman of the Environment Agency for six years, from 2008 to 2014. The Environment Agency is responsible for the implementation of much of the environmental regulation that pertains here in the UK, and over the course of the last 15 years or so there has been a real success story in the improvement of our environment In the 10 years from 2000 to 2010, sulphur oxide emissions in the UK fell by 75%. Nitrogen oxide emissions fell by 37%. Emissions of PM10s, fine particulates, fell by 39%. The amount of waste recovered and reused at all major industrial plants increased from 37% to 67% and, through regulating agricultural run-off into our streams and rivers, the quality of water improved to such an extent that we now have otters back in every county in England. This was all a result of regulation: a firm but proportionate regulatory framework, coupled with an intelligent business response. Of course, not every regulation is perfect. I point, for example, to the precise provisions for nitrate-vulnerable zones, which contain considerable absurdities. Overall, however, the impact of environmental regulation is really positive This applies not just in the UK; there is a global success story as well. When I was first a Member of Parliament in the other place, in my first term I was a member of the Environment Select Committee. We looked in detail at what was happening to the ozone layer, which was, in the 1980s, the big environmental issue. The issues in relation to the ozone layer were very carefully looked at across the world, and a combination of scientific evidence, international agreement and then firm regulation in place in order to tackle the problems of CFCs and HCFCs ensured that we began, as a globe, to resolve the problem—and the ozone layer is now in a much better condition than it was 25 years ago. That was a result of regulation All of this makes it all the more absurd and depressing that the constant theme of the need for deregulation, the burning of red tape, seems to be that it is argued for simply for its own sake, not looking at the content or impact of the regulation, or the need for it, but simply based on an assumption that regulation per se is a bad thing. The ultimate absurdity—and I fear that it is not just the present Conservative Government; the previous Labour Government were guilty of beginning this process—is the absurdity of one in, one out, and then one in, two out, and now one in, three out. This is a ridiculous way of trying to administer sensible public policy Of course, regulation needs to be smart and proportionate. Sometimes this Government and their predecessors have given the impression, however, of a completely arbitrary assault on regulation just for the sake of it. Our environment needs regulation; it must not be arbitrarily tossed aside. Take a very contemporary and controversial issue, the fracking for shale gas. I happen to believe that fracking has a role to play as an interim energy source in order to help the transition to a low-carbon future, but it can be allowed to be so only if the regulation of it is clear, firm, transparent and rigorously implemented in order to protect the aquifers underground, to ensure well integrity, to control what happens to waste materials and to ensure that no methane escapes to the atmosphere. I also have direct experience of being a regulator in a completely different capacity. For the last 10 years I have been chairman of the Advertising Standards Authority. The ASA is a very successful example of self-regulation in practice, in terms of print and published media, and of co-regulation in terms of broadcast media. The ASA has been in place for 52 years. It was put in place and has continuously, through those 52 years, been strongly supported by the advertising industry. Because, of course, advertising, to have real impact, depends on trust, and advertisers have known for the last half-century that they will not secure the trust of the public unless they can demonstrate that the claims they make are properly regulated. They want sensible, proportionate regulation in order to thrive as an industry because it is in the interests of the industry. One thing that Ministers of all Governments who seem to believe that deregulation is a holy grail fail to realise is that, actually, business and industry know that regulation, when properly done, can be incredibly beneficial. Ask the major waste companies the question and you will get precisely the same answer. Regulation is welcomed by legitimate businesses because, in the way that the noble Lord, Lord Hunt, outlined, it provides a level playing field and means that the cowboys cannot have an advantage over the legitimate major players There is one other important way in which regulation not only helps to protect the public but brings business advantage. It is that regulation helps—sometimes forces—the driving of innovation with new technologies, more efficient ways of doing things, reducing waste and reducing cost by so doing and getting ahead of the market. For example, the constant improvement in the motor vehicle industry that we have seen over the past 15 to 20 years has been driven very much by a lot of the regulatory processes that have been in place. Regulation has meant that much in terms of technology has thrived when it would not otherwise have done so. UK businesses are not yet seizing these opportunities as vigorously as they could Is regulation always good? No. Is it frequently essential for public protection? Yes, absolutely. Is it good for business? Often. By and large, has it helped our society and our well-being over the decades? Yes. Has it been done well? Much of the time, yes, it has, although sometimes we could do it better. So let us hear a little bit less about burning red tape and the intrinsic virtues of deregulation and let us hear a bit more about good, safe, smart, sensible and forward-looking practice.