My hon. Friend will be pleased to know that I thank them later in my speech, but I will do it now. I thank Lord Lester for beginning the process of his private Member’s Bill, which followed the working party; and I thank Lord Mawhinney who chaired the excellent Joint Committee. I thank, too, the Select Committee on Culture, Media and Sport, ably chaired by another Conservative, the hon. Member for Maldon (Mr Whittingdale).
On the rules on a corporation’s ability to pursue defamation against an individual, however, the broad consensus breaks down. We were led to believe that this afternoon the Government would make concessions that would buy off the Liberal Democrats and us, but that did not happen. What the Minister has said is inadequate, and gives the lie to the word “concession”.
The Government, and the hon. and learned Member for Harborough (Sir Edward Garnier), seek the House’s support for the overturning of Lords amendment 2. The amendment would bring equality to an area of law that is currently characterised by a large degree of inequality and that has had a chilling effect. Corporations have used their financial and legal might to intimidate their critics, which in many cases has led to their silence.
Let me quote from the excellent report of the Joint Committee.
“It is unacceptable that corporations are able to silence critical reporting by threatening or starting libel claims which they know the publisher cannot afford to defend and where there is no realistic prospect of serious financial loss. However, we do not believe that corporations should lose the right to sue for defamation altogether ...we favour the approach which limits libel claims to situations where the corporation can prove the likelihood of ‘substantial financial loss’.”
Opposition Members support that statement.
If the Government are successful today, they will undo a key improvement that was made in the other place, and this House will send the message that it is acceptable for corporations and institutions to silence their critics by using the threat of defamation in a battle that is inherently unequal. The Bill, as amended, will not prevent corporations from pursuing defamation actions against individuals; it merely introduces an initial hurdle before that stage is reached. A court must be satisfied that the likelihood of substantial financial harm has been proved before the action can proceed. That last point is important, as it relates to the size of the company and thus takes into account the particular challenges facing smaller businesses.
The hon. Member for Worthing West (Sir Peter Bottomley) mentioned Dr Simon Singh, the science writer who led the libel reform campaign—a campaign for reform of our defamation law—after being sued for criticising the “bogus treatments” offered by some alternative medicine providers. He pointed out that if the Government were successful today, people such as him who made similar statements would still be given no protection. As Members may know, he was sued by the British Chiropractic Association, which is registered as a company.
Dr Simon Singh said today:
“My own case is not atypical. Lots of cases which people think are unfair and unreasonable have involved large companies suing individuals and corporations. The only clause in the Bill that would have helped me would have been if the British Chiropractic Association had had to demonstrate financial loss, because that would have been impossible for them. Corporations have huge influence on society and that’s why we need to tip the balance in favour of free speech.”