If so, why do the Opposition believe there is a need for the Bill? As my right hon. Friend the Minister said, the Labour party was elected on a mandate to seek to protect consumers and that we would not be party to rip-offs, nor will we be. Despite the questions that I have put, which I hope are seen in a positive light, I am delighted that the Government accept their responsibilities. On that, I say very well done indeed.
If the Bill is to be effective, there must be a duty, rather than a power. We must publicly set out the standards that we expect where we think that that applies. If we do not do so now, I fear that the provision in the Bill for the Secretary of State to intervene will be used far sooner than expected. Then, perhaps, the proof of the pudding will be in the eating.
Without Energywatch to push and probe, I fear that standards of complaint procedure will rapidly deteriorate. Alistair Buchan intimated as much to me when I met him—that there would be a void which Ofgem can and should fill. The question is whether that would be enough. We must make sure that in the Bill Ofgem is compelled, not invited, to do so.
Another gap in the new arrangements involves the collating of evidence surrounding complaints. Energywatch has done a fine job of using its own experience and data to identify trends and solve problems. As we all acknowledge, it has made progress on disconnections, billing and so on, which would not have been identified as problems without that outside pressure. The new NCC will have the far greater power to identify problems across sectors, and I welcome that, but it will be hampered in its efforts if the data are not available to it in the first place. I spent months, as have colleagues in Lanarkshire and elsewhere, attempting to get assorted figures concerning the energy sector from companies, and indeed from Ofgem, and I can assure the House that it was no easy job. Our colleagues in Committee will therefore have to give a great deal of thought to that.
The NCC will be aided by provisions in the Bill on demanding such data. I welcome those provisions, which are absolutely essential. However, the information on a lot of relevant material is not recorded, and we must consider that as well. The Bill must include provision to demand that suppliers keep better records of customers’ complaints, and Ofgem must ensure that they are reliable and completely transparent. That is why I have made the plea to it, and regarding it, about the kind of accountability that I thought we had all taken as agreed. Some issues affected by the Bill go beyond being resolved by competition or regulation, and we must explicitly set them out now; otherwise, they will fall by the wayside, to the extreme detriment of consumers.
All that said, the Bill represents tremendous progress. The debate in another place was extremely well informed, and I have every reason to believe that the same will apply as the Bill makes its way through this House and that we can improve on its excellent objectives. If we do that, the House will be responding to the needs, the rights and, in many cases, the cries of consumers. That is our responsibility today and the reason why I am extremely pleased to say that I shall be supporting the Bill.
Consumers, Estate Agents and Redress Bill [Lords]
Proceeding contribution from
Tom Clarke
(Labour)
in the House of Commons on Monday, 19 March 2007.
It occurred during Debate on bills on Consumers, Estate Agents and Redress Bill [Lords].
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2006-07Chamber / Committee
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