Regulatory Enforcement and Sanctions Bill [HL]

I am grateful for the opportunity presented by these amendments to give assurances regarding the use of ministerial guidance and directions to the LBRO. The Bill has deliberately given the LBRO extensive freedom to work on its own initiative with local authorities and other partners to meet its objectives. As we discussed on Monday, its directors have been drawn from across the range of the LBRO’s stakeholder groups—notably business, local authorities and regulators—and we think that it has the expertise and practical knowledge to be left to get on with the job. That is particularly important in its advisory capacity, where we expect the LBRO to give robust and independent advice to Ministers on the way in which regulatory policy impacts, or might impact, on local authorities and businesses alike. However, the Secretary of State and Welsh Ministers remain ultimately accountable for the body’s actions, and it is right that there should be a reserve power of this sort. However, I recognise the concerns that the powers might be used improperly by some future Secretary of State or even by some future Welsh Ministers, given the need for the LBRO’s operational independence. Clauses 13(2) and 14(2) already require publication of any guidance. Noble Lords will know—indeed, it has just been mentioned by the noble Viscount—that the Government, in response to comments by the Delegated Powers and Regulatory Reform Committee, have tabled an amendment that would require parliamentary scrutiny for any direction which would oblige the LBRO to make directions to more than one local authority. I am happy to say—I hope that noble Lords will also be pleased—that we want to consider all the amendments that have been moved and spoken to in this group before committing ourselves to any course of action. There might be urgent cases, for example, where very prescriptive guidance requirements would be counter-productive. However, I invite the noble Viscount to withdraw his amendment today and we will consider its import and the import of the amendments of the noble Baroness. I believe that the noble Lord, Lord Cope, is to move an amendment in the next group to the same effect and on the same subject matter. I can tell him in advance that we will ask whether we can go away and consider his amendments in due course, too.