Public Bodies Bill [HL]

My Lords, it is fortunate that I have an opportunity to respond to my noble friend so quickly. He has drawn a portrait of the Bill that I scarcely recognise. There are a number of bodies that we reflected on and considered in Committee, but we are still on track for the reform of the public bodies sector and we have, I think, the support of the whole House on the general terms in which that project is being undertaken. My noble friend’s Amendments 3 and 23 are designed to amend Clauses 1 and 2 to make it clear that an order made under those clauses would transfer a function to another body regardless of whether that body was listed in the Bill. My noble friend is right to assert that, in many cases, it may be desirable that functions are transferred to an existing public body from a body that is abolished or merged. However, I can confirm that this is already provided for in the Bill. As Clause 1(3)(b) makes clear, the definition of ““eligible person””, to whom a function can be transferred, includes, "““any other person exercising public functions””." I assure my noble friend that this definition has been drafted to include public bodies both within and outside the scope of the Bill—bodies that, by their very nature, exercise public functions by virtue of statute or royal charter. Noble Lords will be aware that some public functions are carried out by non-statutory bodies, such as most advisory NDPBs, many of which are Crown bodies and legally part of their parent department. It would be possible to transfer statutory functions to such bodies by two mechanisms. First, the function could be transferred to a Minister under Clause 1(3)(a), provided that such a transfer was permissible within the restrictions set out in the Bill, such as those in Clause 16 concerning the independence of certain functions. Secondly, a function could be abolished in statute but replicated using existing prerogative powers. This is the process envisaged for the Valuation Tribunal Service, for example, the functions of which will be replicated by the Tribunals Service as an executive agency of the Ministry of Justice. In each case, the Government expect that the explanatory document provided with the draft order will provide clarity regarding any changes in the exercise of public functions. In the light of this explanation, I trust that my noble friend will feel able to withdraw his amendment.