Contribution
My Lords, I will speak to Amendments 3 and 4, tabled in my name and that of my noble friend Lord Younger of Leckie. Both concern the information-gathering and information-sharing powers in this Bill, and both are designed to ensure that those powers are exercised with fairness, clarity and restraint.
The first amendment to Clause 3 would require that any information notice issued to a bank or financial institution includes a clear statement that the person named or described in that notice is not necessarily guilty of the suspected fraud. This is an important safeguard. As noble Lords will recall, Clause 3 enables investigators to issue information notices to banks when there is a reasonable suspicion of fraud. That is a proper and necessary power which is central to the operation of the Bill, and we do, of course, accept that. However, it is equally vital that the use of that power does not inadvertently imply culpability on the part of the individual concerned. Particularly in the early stages of implementation, when departments and financial institutions are still adjusting to these new processes, there is a real risk that an information notice could be misinterpreted as a formal accusation of wrongdoing. A simple, clear statement of non-culpability within the notice would prevent that risk. It would protect innocent individuals from reputational harm, ensure that they are not subject to debanking or any action from the side of the bank, ensure transparency in the use of investigatory powers, and demonstrate that the Government are determined to act fairly as well as firmly in the pursuit of fraud.
This is a small addition, but one with significant practical effect. What may seem a technicality in legislation can have a tangible effect on people in the real world—those who will be affected by the words we use and that we approve in this Bill. Clarity on this question would be a small change for the Government, but it could avoid risking some serious and damaging circumstances for those outside this place who have done nothing wrong, but who may nevertheless be presumed to have done so without the sort of clarifications we are suggesting. We therefore hope the Government will look closely at how such a clarification might be built into the final version of the Bill.
The second amendment, to Clause 5, concerns the disclosure of information once it has been gathered. As the Bill stands, Clause 5 allows the Minister to disclose information to another person for the purposes of exercising the powers in the Bill, but it gives no definition of or limitation as to who that other person might be. That is an extraordinarily broad formulation. Our amendment would simply require the Secretary of State to specify, by regulations, the persons or categories of persons to whom such information may be disclosed. This would provide a transparent and accountable framework that allows for flexibility but still ensures that Parliament has visibility of how and where sensitive data can be shared.
We are not seeking to obstruct the legitimate flow of information between public bodies. On the contrary, we recognise that effective information exchange is essential to combat fraud across the public sector, but we must ensure that these powers are not open-ended. We trust the present Minister to use them responsibly, but as noble Lords have often reminded us, we are legislating for future Ministers and Governments, and the safeguards we build in now will protect individuals for years to come.
These are not amendments on which we intend to divide the House. We bring them back to ensure that these important issues are not lost as the Bill progresses, that the Government meet the challenge they raise, and that appropriate assurances or refinements are provided before the Bill leaves this House. Both proposals are constructive. One protects individuals from being unfairly stigmatised when information about them is sought; the other ensures that personal information, once obtained, can be shared only within clear, regulated limits. Together, they speak to a single principle: that strong powers must always be matched by strong safeguards. We therefore hope that the Minister will take these concerns in that spirit and consider how best to address them as the Bill moves forward. We look forward to hearing her response. I beg to move.