Dormant Bank and Building Society Accounts Bill [HL]

The noble Baroness, Lady Pitkeathley, said that we must not forget that the Bill is about releasing money for good causes. We should not forget, but we think that an important part of the Bill is the reuniting activity, and I am not sure that banks and building societies have had the same enthusiasm for it that they now appear to be showing. Reuniting is a very good activity, and it would be a good outcome if no money were to flow to good causes, in the sense that money had gone to where it was rightfully owed. We believe in property rights that are capable of being asserted and fully support that. The issue is whether the voluntary scheme, with the banks, building societies and National Savings & Investments bringing their information together, will work. I do not know. Clearly, a voluntary scheme is the best way. As I have said before, we go with the grain of voluntarism to that extent. I hope that the Minister can say whether all banks and building societies in the arrangements that are being set up. I am not clear whether only those that subscribe to the Banking Code are within the current scheme. Not all banks sign up to the Banking Code. Eight banks, several of which are quite small, do not sign up. One is the Post Office in respect of its accounts, and those who enjoy racing have accounts with Weatherbys. I admit to the Committee that I have one. It was news to me that the bank did not sign up to the Banking Code, but now I know, having done my research for this Bill. My questions are: does the scheme cover them all; and will it work in practice? Clearly, the amendment tabled by the noble Lord, Lord Newby, is permissive. It does not require the Secretary of State to do anything, so it can contemplate a voluntary scheme working well and be brought in only if necessary. What happens if it has to come in? Who would run it? Who would pay for it? How would we deal with that? The noble Lord’s amendment glosses over that, it is fair to say. At present, banks and building societies are in effect paying for the reuniting activity. If a statutory scheme were introduced there would be a question mark over whether the banks would sign up to pay for it. I am not sure that a statutory instrument could impose significant costs easily on the private sector. We have some sympathy with the need to have a reserve power in case a voluntary scheme does not work or does not cover enough institutions, but we have some concerns about how it has been put forward.