The Earl of Courtown (Con)

My Lords, I welcome these regulations and thank the Minister for her very clear description of their use and how they will be put into practice. We on these Benches recognise the importance of this legislation in ensuring that insurance firms act safely and responsibly. The legislation also seeks to minimise the likelihood that insurance firms will come into financial difficulty. This instrument will allow for this by making a series of amendments to legislation—that is, to make certain that the UK’s insurance regulatory regime functions as planned following the implementation of the Solvency II reforms and the revocation of assimilated EU law at the end of this year. The previous Government, following engagement with industry, created detailed plans to reform Solvency II, and we welcome this Government’s decision to continue our plans. These reforms were designed to allow for a prosperous insurance industry, while ensuring the soundness of firms by demanding that insurers hold enough capital to withstand. I have just one question for the Minister: can His Majesty’s Government confirm what conversations they are having with the insurance industry to ensure that these reforms are implemented properly? I again confirm that His Majesty’s Opposition welcome these regulations, and I look forward to the Minister’s response.