Compensation Bill [Lords]

I am grateful for the opportunity to speak in support of the Bill. Claims handlers have been described as cowboys. If that is the case, coalfield communities such as north Nottinghamshire are the wild west. The activities of claims handlers have caused false hopes, false expectations and real concerns and financial difficulties, not just to people who work in the mining industry, but for the women in the textile industry who have been gullible enough to make deafness claims through claims handlers. I strongly support part 2. The regulation of claims handlers is long overdue. My hon. Friend the Member for Hendon (Mr. Dismore) was hostile towards clause 1. I am agnostic. I would like to see the phrase ““desirable activity”” defined. It is not defined. In her opening remarks the Minister made it clear that there would be further court cases to test the scope of the phrase. Rather than clarifying the law, that may well lead to confusion and delay. I am concerned about the position of public sector workers—people who work in difficult environments, such as the fire brigade or the ambulance service. They are undertaking desirable activities, but the level of protection that they have under the clause may be less than they have at present. I am with the right hon. Member for Berwick-upon-Tweed (Mr. Beith). His Select Committee has considered the matter. I am agnostic about the way forward. I do not think the clause moves us on, and I look forward to a rigorous debate on clause 1 and its significance. Clause 1 is well balanced by clause 2. All bodies, particularly public bodies, ought to be prepared to apologise much more readily than they do. An apology is simply good practice. An early acknowledgement that things have gone wrong and that the institution is sorry could save a great deal of litigation later on. Let me turn my remarks to part 2. As I said, claims handlers have ridden roughshod over coalfield communities, and the difficulties involving coal health claims are well documented. It is not only down to claims handlers but to solicitors and, I have to say, to trade unions. Hon. Members are right to question why trade unions should be exempted from the Bill by secondary legislation. I have come to support that view, but we must be very careful about what it says in the code of practice that the Government intend to introduce. We must not be swayed by traditional allegiances to organisations such as trade unions. The unions have done, and continue to do, a tremendous job. They have brought forward test cases that have radically changed the law and have benefited working people—but at this stage, given recent events, we must ensure that claimants are at the centre of our concern. Where trade unions act as claims handlers—as they do; let us not kid ourselves—they must not be exempted. I am determined that the code of practice should make that clear. People who have been ripped off in north Nottinghamshire and other coalfield communities will be astonished and dismayed if a loophole is left open so that illegitimate, immoral activities can be undertaken by trade unions acting as claims handlers. Another aspect that the code of practice will have to cover is that of a trade union acting for a member and his or her close family and for a wider group of people. Trade unions sometimes act for groups of people far extended from their traditional activities. For example, the south Wales branch of the National Association of Colliery Overmen, Deputies and Shotfirers acts for people in the Kent coalfield who are not members of that organisation. The code of practice must make it clear that there is a difference between acting for members and acting for a wider audience. It is important that the code of practice is discussed with the TUC, which will, I am sure, be positive and helpful. It should not act as a sleeping watchdog but ensure that it intervenes heavily to stamp out abuse. Of course, some trade unions are not, and never will be, affiliated to the TUC. The code of practice must make it absolutely clear that trade unions, whether affiliated or not, operate legitimately within it.