No, it is not, because it is designed to ensure that victims get access to justice. My hon. Friend will find the local papers that may come under section 40 are owned by large companies. The exemption is designed for the charitable sector, which I will come to in just a moment.
One myth is that The Guardian would not be covered. The Daily Mail claimed that The Guardian would be exempt from the section 40 provisions, which is not true. The Guardian would not be covered by condition A, which is necessary to protect the not-for-profit publications that cannot afford cost-shifting—that is the sector my hon. Friend is interested in protecting. The Guardian would be covered because it declares dividends to its members, so it would not be exempted as the Daily Mail suggested.
The next myth about section 40 is that newspapers would have to sign up to Impress, which again is simply not true. The press are at liberty to create their own regulator, which would simply have to fulfil all 29 of Leveson’s criteria in order to become approved. Becoming approved does not require any sort of Government or political approval. It is entirely independent, and there is nothing to stop IPSO applying to become an approved regulator, except that it does not want to provide the low-cost access to justice that is so necessary. IPSO is a press protector, not a press regulator. I say that because it has introduced what it calls a compulsory low-cost arbitration scheme, but that is not right. IPSO’s scheme is voluntary, and the Financial Times, MailOnline and other newspapers not regulated by IPSO have not signed up. Newspapers may leave the scheme whenever they choose. Although I am delighted that IPSO has admitted that low-cost arbitration is necessary, to add to the express view of both Houses and the recommendation of Lord Leveson, this version of it is not right.
If we choose not to vote for section 40 today, we will once again be trusting the newspapers to reform themselves. They say we should trust them and that IPSO is reforming, coincidentally at exactly the same time as we vote on this important new clause. The newspapers have shown again and again that they cannot be trusted, and we must vote to ensure that all victims have access to
low-cost justice, which is so necessary. Lord Leveson, both Houses of Parliament and, now, IPSO have all agreed this is necessary. Section 40 has been on the statute book for five years, and it is now time it was commenced.