V

Viscount Younger of Leckie (Con)

Speaking in the House of Lords on 19 January 2026

Debate

Pension Schemes Bill

Contribution

My Lords, I am very grateful to the Committee for the discussion on this group, which goes to the heart of how Clause 10 is intended to operate in practice. I have a few closing remarks, but I just say at the outset that I think we all realise that it was for the Minister to answer the very concise questions raised by the noble Lord, Lord Davies, the noble Viscount, Lord Thurso, and my noble friend Lady Noakes. Across these amendments and our stand-part notice, our concern has been a consistent one, which is that Clause 10 confers wide powers on the Secretary of State to determine the conditions under which surplus may be paid to an employer and to alter those conditions over time, largely through regulations. That is a significant delegation of authority in an area both technically complex and deeply sensitive for scheme members. Although we recognise the case for flexibility, that flexibility must be balanced with proper safeguards. When changes to the surplus regime could materially affect member protections or the balance of interests between employers and members, it is not unreasonable for Parliament to expect a meaningful and continuing role in scrutinising those changes, not merely at the point when the framework is first established. I listened very carefully to the Minister in her responses in terms of the legislative process, and I take note of the fact that she says that the measures are in line with existing legislation. I will reflect on that and read Hansard, and I will look more deeply at her points about the negative procedures having been used in the past, and the fact that she says that this is different and the Government are bringing forward an affirmative procedure before the negative procedure, if your Lordships see what I mean. I shall look at that. As I said at the outset, our amendments have been probing in nature. They are intended to test the rationale for the proposed approach to parliamentary procedure and seek reassurances that the level of scrutiny will remain commensurate with the importance of the decisions being taken. Finally, given the nature of the Bill as a framework Bill—a theme that we have been promulgating on the first two days in Committee, and which the Minister herself explained on Monday—I hope that the Minister will anticipate that we and other noble Lords will be bearing these questions in mind on many other parts of the Bill. I hope that in raising this and flagging it, she can continue to respond to these issues in the round, explaining why this structure was adopted in the first place throughout the Bill, what constraints the Government envisage placing on the use of these powers, and how Parliament will be able to satisfy itself that future changes to the surplus regime remain appropriate and proportionate. With that rounding off, I withdraw my amendment.

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