Compensation Bill [Lords]

The matter needs to be reviewed but, given that the Bill deals with the civil aspects of compensation, I am not convinced that clause 1 is the place to do so. My hon. Friend raises an important point, which needs to be fully considered and reviewed. It would be interesting to hear from the Minister, perhaps later, whether the Government intend to do that. When I was speaking to Norwich Union earlier this week, its representative explained to me that the current common law is clear and well established, and that Norwich Union questions whether new legislation on negligence is necessary. That was also the view of the Constitutional Affairs Committee, but we do not go that far. We believe that there is a case for clause 1, and that it is important to get the wording right. We have some comments to make about that in due course. As my noble Friend Lord Hunt made clear in the other place, the courts will have to build up their case law on the basis of the Bill if it is passed. I agree with the Minister that that is unlikely to create the huge difficulties that some claim. Clause 2 recognises my noble Friend’s wish to support rehabilitation and early settlement of claims. The clause is one of his attempts to establish that if at an early stage an insurance company or an employer makes an apology and offers treatment, remedial works or whatever is necessary, that should not prejudice any later legal action. My noble Friend achieved an important change in the law which will help to encourage mediation, boost rehabilitation and hopefully prevent cases from coming before the courts except where absolutely necessary. Citizens Advice and the Association of British Insurers are keen that such proposals should be pursued, as am I. We are pleased that in the other place the Under-Secretary of State said that she would not argue further about clause 2. I hope that the Minister will give us an assurance that she does not intend to remove or substantially amend it in this place. One aspect that we intend to pursue is personal responsibility. It is an important issue and we shall press the Government to define the responsibilities of individuals and to consider whether in certain circumstances that might provide a defence of individual negligence. The matter has been considered in other jurisdictions. There is a problem for those who run leisure parks and other institutions where there is an element of risk. If someone is grossly irresponsible and negligent, it should be possible to defend a claim on that basis. The Minister mentioned the case of Barker v. Corus, and I have set out our views and our constructive approach on that. Have the Government any plans to deal with a problem pointed out by Citizens Advice? In hospitals the advertising of claims management services and legal services seems rather inappropriate. When the Minister reflects on the regulation of claims management companies, will she consider whether advertising is an aspect that needs proper attention? Although we agree that regulation is long overdue, we believe, as I said earlier, that the trade unions need to be considered. I pay tribute to the work of many trade unions. I have worked as a volunteer in advice centres and undertaken cases for trade unions, and many of them provide an excellent service in the area of personal injury and employment law. However, if solicitors and all the other groups are to be regulated, is it possible to exempt the trade unions, which would be completely unregulated in this area? It is mentioned that the Union of Democratic Mineworkers has had its problems, but that it is not the only trade union which has been criticised for making money out of referrals of this sort. It is said that many trade unions are solvent only because of this area of their activities. I notice that the right hon. Member for Newcastle upon Tyne, East and Wallsend (Mr. Brown) seems to agree with me.