B

Baroness Finn (Con)

Speaking in the House of Lords on 21 October 2025

Debate

Public Authorities (Fraud, Error and Recovery) Bill

Contribution

My Lords, I thank the Minister for her reply, but I must be absolutely clear that we are not satisfied that the tests we have set out have been met, or with the responses received. The Government ask this House to confer upon the Public Sector Fraud Authority powers that are extraordinary in scope: powers to compel information, to enter premises, to seize property, and to reach directly into the private finances of individuals. Those are powers that, in any other context, would belong to the police. We have voiced, as has noble Lord, Lord Vaux, reservations about granting police powers to civil servants in this instance. Our amendments seek to provide a clear statutory foundation for the exercise of those investigator enforcement powers, ensuring that they are explicitly bound by the structures and intentions set out by Parliament. They provide a clear chain of accountability: from the official who exercises the power, through to the Minister who authorises it, and to the Parliament that must ultimately answer for it. I hear what the Minister says about dishonest Ministers choosing to block an investigation, but ultimately, if a Minister chooses to block an investigation, that is a decision for the Minister who is responsible for the public finances and who will be accountable in Parliament for his or her decision. It is not about putting Ministers in charge of operations. The clear purpose behind these amendments is to create a clear chain of accountability for great powers, because that clarity matters. That is how responsible government works, and that is how public confidence is earned and sustained. Instead, the Government’s proposal leaves the PSFA largely insulated from meaningful scrutiny. It gives immense authority to civil servants, while shielding their actions from the transparency and parliamentary visibility that such authority demands. That is not proportionate oversight. The recent China espionage scandal has laid bare the dangers of confusion and obfuscation when questions of accountability and responsibility are left unresolved. These amendments would provide the structure and safeguards the Bill so plainly lacks. They do not remove powers, but they make those powers defensible. When we are dealing with an authority that will routinely exercise serious and far-reaching powers, there can be no room for ambiguity. We must have clarity about who is responsible, who is accountable and where the lines of authority lie. These amendments provide that certainty. They embody the minimum requirements for a just and serious law. We have tried at every stage of the Bill to work constructively with the Government, and I appreciate the engagement we have been given, but the state must be equipped to confront fraud in a way that preserves trust. That trust is earned through transparency and accountability. These amendments offer a constructive and proportionate way to embed those principles into the Bill. We have a duty to ensure that power is never granted without accountability and that no one, however well-intentioned, operates beyond the reach of ministerial and parliamentary scrutiny. For that reason, I wish to test the opinion of the House.

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