My Lords, in moving these regulations, I will also speak to the Pneumoconiosis etc. (Workers’ Compensation) (Payment of Claims) (Amendment) Regulations 2021. I am required to confirm to the Committee that these provisions are compatible with the European Convention on Human Rights. I am happy to do so. These statutory
instruments will increase the value of lump sum awards payable under the Pneumoconiosis etc. (Workers’ Compensation) Act 1979 and the diffuse mesothelioma scheme, which was established by the Child Maintenance and Other Payments Act 2008.
These two schemes stand apart from the main social security benefits uprating procedure. However, through these statutory instruments, we will increase the amounts payable by the September 2020 consumer price index of 0.5%. This is the same rate that is being applied to the industrial injuries disablement benefit and other disability benefits under the main social security uprating provisions. These new amounts will be paid to those who satisfy all the conditions of entitlement, for the first time, on or after 1 April 2021.
The Government recognise that people suffering from diseases as a result of exposure to asbestos or one of a number of other listed agents may be unable to bring a successful claim for civil damages in relation to their disease. This is mainly due to the long latency period of their condition, but they can still claim compensation through these schemes. These schemes also aim, where possible, to ensure that sufferers receive compensation in their lifetime while they themselves can still benefit from it, without first having to await the outcome of civil litigation.
Although improvements in health and safety procedures have restricted the use of asbestos and provided a safer environment for its handling, the legacy of its widespread use is still with us. That is why we are ensuring that financial compensation from these schemes is available to those affected.
I will briefly summarise the specific purpose of the two compensation schemes. The Pneumoconiosis etc. (Workers’ Compensation) Act 1979—for simplicity, I will refer to this as the 1979 Act scheme—provides a lump sum compensation payment to individuals who have one of five dust-related respiratory diseases covered by the scheme, who are unable to claim damages from employers because they have gone out of business and who have not brought any action against another party for damages. The five diseases covered by the 1979 Act scheme are diffuse mesothelioma, bilateral diffuse pleural thickening, pneumoconiosis, byssinosis and primary carcinoma of the lung if accompanied by asbestosis or bilateral diffuse pleural thickening.
The 2008 mesothelioma lump sum payments scheme, which I will refer to as the 2008 scheme, was introduced to provide compensation to people who contracted diffuse mesothelioma but were unable to claim compensation under the 1979 Act because, for example, they were self-employed or their exposure to asbestos was not due to their work. The 2008 scheme allows payments to be made quickly to people with diffuse mesothelioma at their time of greatest need. Under each scheme, a claim can be made by a dependant if the person with the disease has died before being able to make a claim.
The rates payable under the 1979 Act scheme are based on the level of the disablement assessment and age of the sufferer when the disease is diagnosed. The highest amounts are paid to those diagnosed at an early age and with the highest level of disablement. All payments for diffuse mesothelioma under the 1979 Act
scheme are automatically made at the 100% disablement rate, the highest rate of payment, reflecting the serious nature of the disease. Similarly, all payments for this condition under the 2008 scheme are made at the 100% disablement rate and based on age, with the highest payments going to the youngest people with the disease. In the last full year for which data is available—April 2019 to March 2020—3,220 awards were paid under the 1979 Act, totalling £42.7 million, and 450 people received payments under the 2008 Act, totalling £9.7m million. Overall, 3,670 awards were made across both schemes in 2019-20 and expenditure was £52.4 million.
I am keen to address the impacts of the Covid-19 pandemic on sufferers of pneumoconiosis and mesothelioma. While this uprating debate is an annual event, this has been a far from normal year. We took the difficult decision at the outset of the pandemic to temporarily suspend all face-to-face health and disability assessments, including for the industrial injuries disablement benefit, to protect the health of claimants and staff. We have continued to process industrial injuries disablement claims for those individuals with terminal illnesses. Therefore, throughout the Covid-19 pandemic and the suspension of face-to-face interviews, service centres have continued to pay the D3, mesothelioma, D8, lung cancer with asbestosis, and D8a, lung cancer in the absence of asbestosis cases, for workers’ compensation.
In addition, since November 2020, we have been assessing claims for D1, pneumoconiosis, including silicosis and asbestosis, and D9, unilateral or bilateral diffuse pleural thickening, prescribed diseases, so that claimants can start to receive the payments they deserve. While we expect the number of people diagnosed with mesothelioma to begin to fall in the coming years, the Government are well aware that there will still be many people who develop this and other respiratory diseases. That is why we are committed to working with our agencies and arm’s-length bodies to improve the lives of those with respiratory diseases.
The Covid-19 pandemic has presented major challenges for all healthcare systems. The NHS has published a cancer service recovery plan, which has been developed with the Cancer Recovery Taskforce. The plan aims to prioritise long-term plan commitments, which identified respiratory disease as a clinical priority and will support recovery, including the delivery of targeted lung health checks. We know that research is crucial in the fight against cancers such as mesothelioma. That is why the Department of Health and Social Care invests £1 billion per year in health research through the National Institute for Health Research.
I am aware that people suffering from occupational lung diseases are likely to be at higher risk of complications resulting from Covid-19, at what continues to be a distressing time for sufferers of the diseases that we are discussing today. The Department of Health and Social Care is following advice from independent experts on the Joint Committee on Vaccination and Immunisation on which groups of people to prioritise for Covid-19 vaccines. They advise that the immediate priority should be to prevent deaths and protect health and care staff, with old age deemed the single biggest factor in determining mortality. The JCVI has decided that it is
safe for people with long-term conditions and that people who are high-risk should be prioritised to get the vaccine first.
Returning to these important regulations, I am sure we all agree that, while no amount of money can ever compensate individuals and families for the suffering and loss caused by diffuse mesothelioma and the other dust-related diseases covered by the 1979 Act scheme, those who have them rightly deserve the financial compensation that these schemes can offer. I commend the increase of the payment scales for these schemes and ask approval to implement them. I beg to move.
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