My Lords, like other noble Lords who have spoken, I welcome the Bill and will not seek to delay it. Having said that, the Bill is deficient. It needs to be strengthened, either in Committee in this House or through secondary legislation. I hope that that happens.
My basis for speaking is that I have been involved in this field for nearly 40 years. In the early 1970s, when I was a trade union health and safety officer, I sat on the first HSE drafting committee on the asbestos regulations. Of course, as the noble Lord, Lord Alton, has said, by that time the scientific knowledge was clear on blue asbestos and pretty clear on white and brown asbestos as well. However, it took a long time for the government machine to get in place. Of course, employers were still in denial. My union, the GMWU, had significant membership in Turner & Newall itself, and frankly some of them were in denial as much as the management. However, the reality was that they were dying.
We also had a group of workers who liked to call themselves thermal insulation engineers, or laggers, who stripped off asbestos from machinery in shipyards, steelworks and royal government dockyards. There were some fantastic leading figures among that group of workers, almost all of whom were dead in their 40s from asbestosis. Many of those who survived came to suffer from mesothelioma as well.
As my noble friend Lord Jones and others have said, this is an utterly horrendous disease. I am pleased that, belatedly—50 years on from the scientific knowledge being here—we are finally getting to grips with it. The previous Labour Government did a lot in relation to other asbestos-related diseases, and the noble Lord, Lord McKenzie, started the ball rolling on this one against considerable opposition from the insurance companies and, be it whispered, from the Treasury.
However, we still do not yet have a sufficiently effective Bill. Others have pointed to the deficiencies in relation to those it excludes because of the date. Frankly, many are excluded by that date, given the life-expectancy after diagnosis. Given the exclusion of other long-latency diseases and mesothelioma, which can generally be ascribed to asbestos, although the causal association may be slightly weaker, and to the whole structure of compensation, it is true that those who get through this system, or their dependents, will belatedly get a very significant sum. That is what, rightly, the civil courts have awarded in individual cases which have been through the court system. I find it pretty disgraceful that the average that comes out of that system will now be discounted by a whole 30%.
When one stands back it is not only that there are normally scanty records that employers have disappeared, and that individuals kept changing their employer in many of these sectors, but, as my noble friend Lord Browne of Ladyton just deftly hinted, there was some degree of destruction of records involved here as well. That is the responsibility of the insurance industry, and one they should face up to. His analogy with the motor insurance bureau is also apposite. After all, in the motor industry insurance is compulsory on motorists, as employer’s liability is compulsory on employers. Therefore, despite the greater difficulty of proof, the analogy holds. In that situation, rather than have a sifting body, possibly interpreted by a technical committee, and then the DWP looking at it, or whatever body the DWP eventually devolve this scheme to, effectively the insurance industry faces up to its responsibility and pays effectively the proven 100% of the claim. That is not a complete analogy, but compared with that 100%, a 70% figure seems very difficult to justify. There is a higher risk on the insurers and an increased administration cost on them. I think it was the noble Lord, Lord Avebury, who said that maybe 90% in other analogies is perhaps appropriate, but any person would regard 70% as excessive.
I commend the Minister on getting this Bill to this stage, and no doubt having the equivalent arguments with the Treasury to get it to this stage. However, on the negotiations, I dealt with the insurance industry on flood defence and with some of the Minister’s colleagues in Defra who are in the current Government. The insurance companies are tough negotiators. They
live for negotiation, even more than trade unionists do, and at times are rather more successful than the trade unionists. We could afford to be a bit tougher in this respect, in particular in relation to the discount. We have a significant exclusion on the basis of the date, another on the basis of the non-mesothelioma diseases, and on top of that the insurance industry has somehow come out with a 30% discount. I suspect that they went home and thought that was a result. The Government could get a better result. I am not sure whether we will manage to get a better result in the course of this Bill. I hope that some of those anomalies can be addressed; for example, the Minister ought to be prepared to accept an amendment that allowed him or a future Secretary of State to add the other diseases to the Bill. I would have thought that that ought not to be a great difficulty for the Government. I hope that when we debate the regulations that might stipulate the 70% or something like it, a little bit of give in an upward direction would be forthcoming from the Government.
Having said all of that, I welcome the Bill. We need to make sure that, for the reasons the Minister spelt out at the beginning, it gets a speedy result within this House and gets onto the statute book. At the end of the day, the people we are helping have gone through horrendous difficulties, and their nearest and dearest have watched them do that. We have a responsibility to ensure that at least the majority of those people get adequate compensation as rapidly as possible.
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