Regulatory Enforcement and Sanctions Bill [HL]

All government departments, as noble Lords will know, are expected to conduct a post-implementation review of any new legislation or policy initiative. Clause 63 puts this requirement on a statutory footing, and requires the review to take place within a three year period. In conducting the review, the Minister will have regard to such issues as whether there are any obstacles to the use of the new sanctioning powers, whether the drafting of the order has caused any unintended consequences, or whether the way in which the sanctions have been implemented has created incentives to use particular sanctions. The review will benefit both regulators and the regulated community, as it will ensure that any deficiencies in the order can be identified and put right. This is a one-off review. There is no requirement to conduct further reviews, although we would expect the Minister to monitor a regulator’s performance as part of existing governance arrangements. On the specific detail of Amendments Nos. 165 and 166, the Bill requires the Minister to consult such persons as he thinks fit when conducting a review under Clause 63. This would not preclude the Minister from consulting the National Audit Office, which we all hold in high regard. Indeed, we expect this to be good practice. However, the NAO may not be the most appropriate consultee in all circumstances. Where the regulators in question are local authorities that are audited by the Audit Commission, the NAO will have no remit to decide how they have exercised the new sanctioning powers. The Bill is therefore deliberately silent on whom the Minister should consult. As a result, I hope the noble Lord will now feel able to withdraw the amendment.