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  • Damian Collins – 2022 Speech on the Online Safety Bill

    Damian Collins – 2022 Speech on the Online Safety Bill

    The speech made by Damian Collins, the Conservative MP for Folkestone and Hythe, in the House of Commons on 5 December 2022.

    As Members know, there is a tradition in the United States that when the President signs a new Bill into law, people gather around him in the Oval Office, and multiple pens are used and presented to people who had a part in that Bill being drafted. If we required the King to do something similar with this Bill and gave a pen to every Minister, every Member who had served on a scrutiny Committee and every hon. Member who introduced an amendment that was accepted, we would need a lot of pens and it would take a long time. In some ways, however, that shows the House at its best; the Bill’s introduction has been a highly collaborative process.

    The right hon. Member for Barking (Dame Margaret Hodge) was kind in her words about me and my right hon. Friend the Member for Croydon South (Chris Philp). I know that my successor will continue in the same tradition and, more importantly, that he is supported by a team of officials who have dedicated, in some cases, years of their career to the Bill, who care deeply about it and who want to see it introduced with success. I had better be nice to them because some of them are sitting in the Box.

    It is easy to consider the Bill on Report as it now, thinking about some areas where Members think it goes too far and other areas where Members think it does not quite go far enough, but let us not lose sight of the fact that we are establishing a world-leading regulatory system. It is not the first in the world, but it goes further than any other system in the world in the scope of offences. Companies will have to show priority activity in identifying and mitigating the harm of the unlawful activity. A regulator will be empowered to understand what is going on inside the companies, challenge them on the way that they enforce their codes and hold them to account for that. We currently have the ability to do none of those things. Creating a regulator with that statutory power and the power to fine and demand evidence and information is really important.

    The case of Molly Russell has rightly been cited as so important many times in this debate. One of the hardships was not just the tragedy that the family had to endure and the cold, hard, terrible fact—presented by the coroner—that social media platforms had contributed to the death of their daughter, but that it took years for the family and the coroner, going about his lawful duty, to get hold of the information that was required and to bring it to people’s attention. I have had conversations with social media companies about how they combat self-harm and suicide, including with TikTok about what they were doing to combat the “blackout challenge”, which has led to the death of children in this country and around the world. They reassure us that they have systems in place to deal with that and that they are doing all that they can, but we do not know the truth. We do not know what they can see and we have no legal power to readily get our hands on that information and publish it. That will change.

    This is a systems Bill—the hon. Member for Pontypridd (Alex Davies-Jones) and I have had that conversation over the Dispatch Boxes—because we are principally regulating the algorithms and artificial intelligence that drive the recommendation tools on platforms. The right hon. Member for Barking spoke about that, as have other Members. When we describe pieces of content, they are exemplars of the problem, but the biggest problem is the systems effect. If people posted individually and organically, and that sat on a Facebook page or a YouTube channel that hardly anyone saw, the amount of harm done would be very small. The fact is, however, that those companies have created systems to promote content to people by data-profiling them to keep them on their site longer and to get them coming back more frequently. That has been done for a business reason—to make money. Most of the platforms are basically advertising platforms making money out of other people’s content.

    That point touches on every issue that Members have raised so far today. The Bill squarely makes the companies fully legally liable for their business activity, what they have designed to make money for themselves and the detriment that that can cause other people. That amplification of content, giving people more of what they think they want, is seen as a net positive, and people think that it therefore must always be positive, but it can be extremely damaging and negative.

    That is why the new measures that the Government are introducing on combating self-harm and suicide are so important. Like other Members, I think that the proposal from my right hon. Friend the Member for Haltemprice and Howden (Mr Davis) is important, and I hope that the Government’s amendment will address the issue fully. We are talking not just about the existing, very high bar in the law on assisting suicide, which almost means being present and part of the act. The act of consistently, systematically promoting content that exacerbates depression, anxiety and suicidal feelings among anyone, but particularly young people, must be an offence in law and the companies must be held to account for that.

    When Ian Russell spoke about his daughter’s experience, I thought it was particularly moving when he said that police officers were not allowed to view the content on their own. They worked in shifts for short periods of time, yet that content was pushed at a vulnerable girl by a social media platform algorithm when she was on her own, probably late at night, with no one else to see it and no one to protect her. That was done in a systematic way, consistently, over a lengthy period of time. People should be held to account for that. It is outrageous—it is disgusting—that that was allowed to happen. Preventing that is one of the changes that the Bill will help us to deliver.

    Mr David Davis

    I listened with interest to the comments of the right hon. Member for Barking (Dame Margaret Hodge) about who should be held responsible. I am trying to think through how that would work in practice. Frankly, the adjudication mechanism, under Ofcom or whoever it might be, would probably take a rather different view in the case of a company: bluntly, it would go for “on the balance of probabilities”, whereas with an individual it might go for “beyond reasonable doubt”. I am struggling —really struggling—with the question of which would work best. Does my hon. Friend have a view?

    Damian Collins

    My right hon. Friend raises a very good question. As well as having a named individual with criminal liability for the supplying of information, should there be somebody who is accountable within a company, whether that comes with criminal sanctions or not—somebody whose job it is to know? As all hon. Members know if they have served on the Digital, Culture, Media and Sport Committee, which I chaired, on the Public Accounts Committee or on other Select Committees that have questioned people from the big tech companies, the frustrating thing is that no matter who they put up, it never seems to be the person who actually knows.

    There needs to be someone who is legally liable, whether or not they have criminal liability, and is the accountable officer. In the same way as in a financial institution, it is really important to have someone whose job it is to know what is going on and who has certain liabilities. The Bill gives Ofcom the power to seek information and to appoint experts within a company to dig information out and work with the company to get it, but the companies need to feel the same sense of liability that a bank would if its systems had been used to launder money and it had not raised a flag.

    Dame Margaret Hodge rose—

    Damian Collins

    I will dare to give way to yet another former Committee Chair—the former chair of the Public Accounts Committee.

    Dame Margaret Hodge

    I draw all hon. Members’ attention to issues relating to Barclays Bank in the wake of the economic crisis. An authority—I think it was the Serious Fraud Office—attempted to hold both the bank and its directors to account, but it failed because there was not a corporate criminal liability clause that worked. It was too difficult. Putting such a provision in the Bill would be a means of holding individual directors as well as companies to account, whatever standard of proof was used.

    Damian Collins

    I thank the right hon. Lady for that information.

    Let me move on to the debate about encryption, which my right hon. Friend the Member for Haltemprice and Howden has mentioned. I think it is important that Ofcom and law enforcement agencies be able to access information from companies that could be useful in prosecuting cases related to terrorism and child sexual exploitation. No one is suggesting that encrypted messaging services such as WhatsApp should be de-encrypted, and there is no requirement in the Bill for encryption to end, but we might ask how Meta makes money out of WhatsApp when it appears to be free. One way in which it makes money is by gathering huge amounts of data and information about the people who use it, about the names of WhatsApp groups and about the websites people visit before and after sending messages. It gathers a lot of background metadata about people’s activity around using the app and service.

    If someone has visited a website on which severe illegal activity is taking place and has then used a messaging service, and the person to whom they sent the message has done the same, it should be grounds for investigation. It should be easy for law enforcement to get hold of the relevant information without the companies resisting. It should be possible for Ofcom to ask questions about how readily the companies make that information available. That is what the Government seek to do through their amendments on encryption. They are not about creating a back door for encryption, which could create other dangers, and not just on freedom of expression grounds: once a back door to a system is created, even if it is only for the company itself or for law enforcement, other people tend to find their way in.

    Ian Paisley (North Antrim) (DUP)

    I thank the hon. Member for jointly sponsoring my private Member’s Bill, the Digital Devices (Access for Next of Kin) Bill. Does he agree that the best way to make progress is to ensure open access for the next of kin to devices that a deceased person leaves behind?

    Damian Collins

    The hon. Member makes an important point. Baroness Kidron’s amendment has been referred to; I anticipate that future amendments in the House of Lords will also seek to address the issue, which our Joint Committee looked at carefully in our pre-legislative scrutiny.

    It should be much easier than it has been for the Russell family and the coroner to gain access to such important information. However, depending on the nature of the case, there may well be times when it would be wrong for families to have access. I think there has to be an expedited and official process through which the information can be sought, rather than a general provision, because some cases are complicated. There should not be a general right in law, but it needs to be a lot easier than it is. Companies should make the information available much more readily than they have done. The Molly Russell inquest had to be delayed for four months because of the late release of thousands of pages of information from Meta to the coroner. That is clearly not acceptable either.

    My right hon. and learned Friend the Member for Kenilworth and Southam (Sir Jeremy Wright) has tabled an amendment relating to small and risky platforms. The categorisation of platforms on the basis of size was linked to duties under the “legal but harmful” provisions, which we expect now to change. The priority illegal harms apply to platforms of all sizes. Surely when illegal activity is taking place on any platform of any size—I hope that the Minister will clarify this later—Ofcom must have the right to intervene and start asking questions. I think that, in practice, that is how we should expect the system to work.

    Like other Members who served on the Joint Committee —I am thinking particularly of my hon. Friends the Members for Watford (Dean Russell) and for Stourbridge (Suzanne Webb), both of whom spoke so passionately about this subject, and the hon. Member for Ochil and South Perthshire (John Nicolson) raised it as well—I was delighted to see that the Government had tabled amendments to cover Zach’s law. The fact that someone can deliberately seek out a person with epilepsy and target that person with flashing images with the intention of causing a seizure is a terrible example of the way in which systems can be abused. It is wrong for the platforms to be neutral and have no obligation to identify and stop that action, but the action is wrong in practice as well, and it demonstrates the need for us to ensure that the law keeps pace with the nature of new offences. I was very proud to meet Zach and his mother in October. I said to them then that their work had changed the law, and I am glad that the Government have tabled those amendments.

    Dean Russell

    May I pay tribute to my hon. Friend for his chairmanship of the Joint Committee last year? We covered a wide range of challenging ethical, moral and technical decisions, with work across both Houses, and I think that the decisions contained in our report informed many of the Government amendments, but it was my hon. Friend’s chairmanship that helped to guide us through that period.

    Damian Collins

    I am grateful to my hon. Friend for what he has said, and for his significant work on the Committee.

    There is a great deal that we could say about this Bill, but let me end by touching on an important topic that I think my hon. Friend the Member for Dover (Mrs Elphicke) will speak about later: the way in which social media platforms are used by people trafficking gangs to recruit those who can help them with bringing people into the country in small boats. It was right that the Government included immigration offences in the list of priority legal harms in schedule 7. It was also right that, following a recommendation from the Joint Committee, they included fraud and scam ads in the scope of the Bill.

    We have already accepted, in principle, that advertising can be within the Bill’s scope in certain circumstances, and that priority legal harms can be written into the Bill and identified as such. As I understand it, my hon. Friend’s amendment seeks to bring advertising services—not just organic posts on social media platforms—into the Bill’s scope as well. I know that the Government want to consider illegal activity in advertising as part of the online advertising review, but I hope that this could be an expedited process running in parallel with the Bill as it completes its stages. Illegal activity in advertising would not be allowed in the offline world. Newspaper editors are legally liable for what appears in their papers, and broadcasters can lose their licence if they allow illegal content to feature in advertising. We do not yet have the same enforcement mechanism through the advertising industry with the big online platforms, such as Google and Facebook, where the bulk of display advertising now goes. Their advertising market is bigger than the television advertising market. We are seeing serious examples of illegal activity, and it cannot be right that while such examples cannot be posted on a Facebook page, if money is put behind them and they are run as advertisements they can.

    Priti Patel

    My hon. Friend is making a very thoughtful speech. This is an important point, because it relates to criminality fuelled by online activity. We have discussed that before in the context of advertising. Tools already exist throughout Government to pick up such criminality, but we need the Bill to integrate them and drive the right outcomes—to stop this criminality, to secure the necessary prosecutions, and to bring about the deterrent effect that my hon. Friend the Member for Dover (Mrs Elphicke) is pursuing.

    Damian Collins rose—

    Mrs Natalie Elphicke (Dover) (Con)

    Will my right hon. Friend give way?

    Damian Collins

    Of course.

    Mrs Elphicke

    I am grateful to my right hon. Friend raising this and for his support in this important area that affects our constituencies so much. I will be speaking later to the details of this, which go beyond the advertising payment to the usage, showing and sharing of this. As he has mentioned schedule 7, does he agree that there is—as I have set out in my amendment—a strong case for making sure that it covers all those illegal immigration and modern slavery offences, given the incredible harm that is being caused and that we see on a day-to-day basis?

    Damian Collins

    I agree with my hon. Friend, which is why I think it is important that immigration offences were included in schedule 7 of the Bill. I think this is something my right hon. Friend the Member for Croydon South felt strongly about, having been Immigration Minister before he was a tech Minister. It is right that this has been included in the scope of the Bill and I hope that when the code of practice is developed around that, the scope of those offences will be made clear.

    On whether advertising should be included as well as other postings, it may well be that at this time the Online Safety Bill is not necessarily the vehicle through which that needs to be incorporated. It could be done separately through the review of the online advertising code. Either way, these are loopholes that need to be closed, and the debate around the Online Safety Bill has brought about a recognition of what offences can be brought within the regulatory scope of the Bill and where Ofcom can have a role in enforcing those measures. Indeed, the measures on disinformation in the National Security Bill are good example of that. In some ways it required the National Security Bill to create the offence, and then the offence could be read across into the Online Safety Bill and Ofcom could play a role in regulating the platforms to ensure that they complied with requests to take down networks of Russian state-backed disinformation. Something similar could work with immigration offences as well, but whether it is done that way or through the online advertising review or through new legislation, this is a loophole that needs to be closed.

  • Margaret Hodge – 2022 Speech on the Online Safety Bill

    Margaret Hodge – 2022 Speech on the Online Safety Bill

    The speech made by Margaret Hodge, the Labour MP for Barking, in the House of Commons on 5 December 2022.

    I pay tribute to all the relatives and families of the victims of online abuse who have chosen to be with us today. I am sure that, for a lot of you, our debate is very dry and detached, yet we would not be here but for you. Our hearts are with you all.

    I welcome the Minister to his new role. I hope that he will guide his Bill with the same spirit set by his predecessors, the right hon. Member for Croydon South (Chris Philp) and the hon. Member for Folkestone and Hythe (Damian Collins), who is present today and has done much work on this issue. Both Ministers listened and accepted ideas suggested by Back Benchers across the House. As a result, we had a better Bill.

    We all understand that this is groundbreaking legislation, and that it therefore presents us with complex challenges as we try to legislate to achieve the best answers to the horrific, fast-changing and ever-growing problems of online abuse. Given that complexity, and given that this is our first attempt at regulating online platforms, the new Minister would do well to build on the legacy of his predecessors and approach the amendments on which there are votes tonight as wholly constructive. The policies we are proposing enjoy genuine cross-party support, and are proposed to help the Minister not to cause him problems.

    Let me express particular support for new clauses 45 to 50, in the name of the right hon. Member for Basingstoke (Dame Maria Miller), which tackle the abhorrent misogynistic problem of intimate image abuse, and amendments 1 to 14, in the name of the right hon. and learned Member for Kenilworth and Southam (Sir Jeremy Wright), which address the issue of smaller platforms falling into category 2, which is now outside the scope of regulations. We all know that the smallest platforms can present the greatest risk. The killing of 51 people in the mosque in Christchurch New Zealand is probably the most egregious example, as the individual concerned used 8chan to plan his attack.

    New clause 15, which I have tabled, seeks to place responsibility for complying with the new law unequivocally on the shoulders of individual directors of online platforms. As the Bill stands, criminal liability is enforced only when senior tech executives fail to co-operate with information requests from Ofcom. I agree that is far too limited, as the right hon. and learned Member for Kenilworth and Southam said. The Bill allows executives to choose and name the individual who Ofcom will hold to account, so that the company itself, not Ofcom, decides who is liable. That is simply not good enough.

    Let me explain the thinking behind new clause 15. The purpose of the Bill is to change behaviour. Our experience in many other spheres of life tells us that the most effective way of achieving such change is to make individuals at the top of an organisation personally responsible for the behaviour of that organisation. We need to hold the chairmen and women, directors and senior executives to account by making those individuals personally liable for the practices and actions of their organisation.

    Let us look at the construction industry, for example. Years ago, building workers dying on construction sites was an all too regular feature of the construction industry. Only when we reformed health and safety legislation and made the directors of construction companies personally responsible and liable for health and safety standards on their sites did we see an incredible 90% drop in deaths on building sites. Similarly, when we introduced corporate and director liability offences in the Bribery Act 2010, companies stopped trying to bribe their way into contracts.

    It is not that we want to lock up directors of construction companies or trading companies, or indeed directors of online platforms; it is that the threat of personal criminal prosecution is the most powerful and effective way of changing behaviour. It is just the sort of deterrent tool that the Bill needs if it is to protect children and adults from online harms. That is especially important in this context, because the business model that underpins the profits that platforms enjoy encourages harmful content. The platforms need to encourage traffic on their sites, because the greater the traffic, the more attractive their sites become to advertisers; and the more advertising revenue they secure, the higher the profits they enjoy.

    Harmful content attracts more traffic and so supports the platforms’ business objectives. We know that from studies such as the one by Harvard law professor Jonathan Zittrain, which showed that posts that tiptoe close to violating platforms’ terms and conditions generate far more engagement. We also know that from Mark Zuckerberg’s decisions in the lead-up to and just after the 2020 presidential elections, when he personally authorised tweaks to the Facebook algorithm to reduce the spread of election misinformation. However, after the election, despite officials at Facebook asking for the change to stay, he ensured that the previous algorithm was placed back on. An internal Facebook memo revealed that the tweak preventing fake news had led to “a decrease in sessions”, which made his offer less attractive to advertising and impacted his profits. Restoring fake news helped restore his profits.

    The incentives in online platforms’ business models promote rather than prevent online harms, and we will not break those incentives by threatening to fine companies. We know from our experience elsewhere that, even at 10% of global revenue, such fines will inevitably be viewed as a cost to business, which will simply be passed on by raising advertising charges. However, we can and will break the incentives in the business model if we make Mark Zuckerberg or Elon Musk personally responsible for breaking the rules. It will not mean that we will lock them up, much as some of us might be tempted to do so. It will, however, provide that most powerful incentive that we have as legislators to change behaviour.

    Furthermore, we know that the directors of online platforms personally take decisions in relation to harmful content, so they should be personally held to account. In 2018, Facebook’s algorithm was promoting posts for users in Myanmar that incited violence against protesters. The whistleblower Frances Haugen showed evidence that Facebook was aware that its engagement-based content was fuelling the violence, but it continued to roll it out on its platforms worldwide without checks. Decisions made at the top resulted in direct ethnic violence on the ground. That same year, Zuckerberg gave a host of interviews defending his decision to keep holocaust-denial on his platform, saying he did not believe that posts should be taken down for people getting it wrong. The debate continued for two years until 2020, when only after months of protest he finally decided to remove that abhorrent content.

    In what world do we live where overpaid executives running around in their jeans and sneakers are allowed to make decisions on the hoof about how their platforms should be regulated without being held to account for their actions?

    Mr David Davis

    The right hon. Lady and I have co-operated to deal with international corporate villains, so I am interested in her proposal. However, a great number of these actions are taken by algorithms—I speak as someone who was taken down by a Google algorithm—so what happens then? I see no reason why we should not penalise directors, but how do we establish culpability?

    Dame Margaret Hodge

    That is for an investigation by the appropriate enforcement agency—Ofcom et al.—and if there is evidence that culpability rests with the managing director, the owner or whoever, they should be prosecuted. It is as simple as that. A case would have to be established through evidence, and that should be carried out by the enforcement agency. I do not think that this is any different from any other form of financial or other crime. In fact, it is from my experience in that that I came to this conclusion.

    John Penrose (Weston-super-Mare) (Con)

    The right hon. Lady is making a powerful case, particularly on the effective enforcement of rules to ensure that they bite properly and that people genuinely pay attention to them. She gave the example of a senior executive talking about whether people should be stopped for getting it wrong—I think the case she mentioned was holocaust denial—by making factually inaccurate statements or allowing factually inaccurate statements to persist on their platform. May I suggest that her measures would be even stronger if she were to support new clause 34, which I have tabled? My new clause would require factual inaccuracy to become wrong, to be prevented and to be pursued by the kinds of regulators she is talking about. It would be a much stronger basis on which her measure could then abut.

    Dame Margaret Hodge

    Indeed. The way the hon. Gentleman describes his new clause, which I will look at, is absolutely right, but can I just make a more general point because it speaks to the point about legal but harmful? What I really fear with the legal but harmful rule is that we create more and more laws to make content illegal and that, ironically, locks up more and more people, rather than creates structures and systems that will prevent the harm occurring in the first place. So I am not always in favour of new laws simply criminalising individuals. I would love us to have kept to the legal but harmful route.

    We can look to Elon Musk’s recent controversial takeover of Twitter. Decisions taken by Twitter’s newest owner—by Elon Musk himself—saw use of the N-word increase by nearly 500% within 12 hours of acquisition. And allowing Donald Trump back on Twitter gives a chilling permission to Trump and others to use the site yet again to incite violence.

    The tech giants know that their business models are dangerous. Platforms can train their systems to recognise so-called borderline content and reduce engagement. However, it is for business reasons, and business reasons alone, that they actively choose not to do that. In fact, they do the opposite and promote content known to trigger extreme emotions. These platforms are like a “danger for profit” machine, and the decision to allow that exploitation is coming from the top. Do not take my word for it; just listen to the words of Ian Russell. He has said:

    “The only person that I’ve ever come across in this whole world…that thought that content”—

    the content that Molly viewed—

    “was safe was…Meta.”

    There is a huge disconnect between what silicon valley executives think is safe and what we expect, both for ourselves and for our children. By introducing liability for directors, the behaviour of these companies might finally change. Experience elsewhere has shown us that that would prove to be the most effective way of keeping online users safe. New clause 17 would hold directors of a regulated service personally liable on the grounds that they have failed, or are failing, to comply with any duties set in relation to their service, for instance failure that leads to the death of a child. The new clause further states that the decision on who was liable would be made by Ofcom, not the provider, meaning that responsibility could not be shirked.

    I say to all Members that if we really want to reduce the amount of harmful abuse online, then making senior directors personally liable is a very good way of achieving it. Some 82% of UK adults agree with us, Labour Front Benchers agree and Back Benchers across the House agree. So I urge the Government to rethink their position on director liability and support new clause 17 as a cross-party amendment. I really think it will make a difference.

  • PRESS RELEASE : DCMS/Wolfson arts funding to make museums and galleries more accessible for people across the country [December 2022]

    PRESS RELEASE : DCMS/Wolfson arts funding to make museums and galleries more accessible for people across the country [December 2022]

    The press release issued by the Department for Digital, Culture, Media and Sport on 6 December 2022.

    • Funding will help make museums more accessible through initiatives like building ramps and improving displays
    • Particular focus on helping organisations to be more sustainable and adopt energy saving measures

    Museums and galleries across England will receive a share of £4 million to improve displays, protect collections and make exhibitions more accessible to visitors.

    The cash boost will go to 33 museums, 26 of which are outside London, from the joint DCMS/Wolfson Museums and Galleries Improvement Fund. Both DCMS and the Wolfson Foundation contributed £2 million to this round of the fund, which has benefited more than 400 projects in its 20-year history.

    The fund aims to help museums and galleries make their collections as accessible to the public as possible, whether that be through building accessible ramps and facilities, improving collection storage to protect them for the future or getting more of their collections out on display.

    In this latest round of funding, the People’s History Museum in Manchester will receive a grant of £214,300 to improve access to the museum for people with disabilities by installing accessible doors, lifts and toilets, improving stairs and walkways with handrails and ramps, and installing signs around the museum to make it more accessible.

    This year there has also been a particular focus on supporting museums and galleries in adopting energy saving measures and improving sustainability.

    The National Motor Museum in the New Forest, for example, will use its grant of £200,000 to install new heating and lighting to improve environmental performance. Abbot Hall Art Gallery, in Kendal, will use £40,500 to review its environmental controls for collections to reduce energy use.

    Arts Minister Lord Parkinson of Whitley Bay said:

    The DCMS/Wolfson Fund aims to make sure more people can access our brilliant museums and galleries right across the county.

    Thanks to this combination of public funding and private philanthropy, these awards will help people who may have previously found visiting museums and galleries difficult and make sure everyone can enjoy and engage with the wonderful collections and exhibitions they offer.

    With 80 percent of the money going to museums outside the capital, this funding is further evidence of the Government’s commitment to levelling up and widening access to culture.

    Paul Ramsbottom, Chief Executive of the Wolfson Foundation said:

    We’re delighted to continue our longstanding partnership with DCMS, which has now awarded over £50 million to outstanding museums and galleries over the past two decades.

    While the projects funded are many and varied, they will all improve access to the treasures of our museums and galleries – allowing more people to enjoy and learn from these impressive collections, as well as safeguarding them for the future.

    The Bowes Museum which manages a Grade I listed building as well as a designated collection and parkland in County Durham has received a grant of £254,900 to develop four new gallery spaces – bringing more of their collections to the public. The new galleries will be created together with the local community to make sure they are fully accessible for people with reduced mobility and sensory impairments.

    £71,700 will help Derby Museums to improve accessibility at Grade I listed Pickford’s House to help the museum use virtual reality to bring the house to a wider audience. Kelham Island Museum in Sheffield will receive £45,000 to improve displays in collaboration with their local communities.

  • Priti Patel – 2022 Speech on the Online Safety Bill

    Priti Patel – 2022 Speech on the Online Safety Bill

    The speech made by Priti Patel, the Conservative MP for Witham, in the House of Commons on 5 December 2022.

    Before I speak to specific clauses I pay tribute to all the campaigners, particularly the families who have campaigned so hard to give their loved ones a voice through this Bill and to change our laws. Having had some prior involvement in the early stages of this Bill three years ago as Home Secretary, I also pay tribute to many of the officials and Members of this House on both sides who have worked assiduously on the construction, development and advancement of this Bill. In particular, I pay tribute to my hon. Friend the Member for Folkestone and Hythe (Damian Collins) and the work of the Joint Committee; when I was Home Secretary we had many discussions about this important work. I also thank the Minister for the assiduous way in which he has handled interventions and actually furthered the debate with this Bill. There are many Government Departments that have a raft of involvement and engagement.

    The victims must be at the heart of everything that we do now to provide safeguards and protections. Children and individuals have lost their lives because of the online space. We know there is a great deal of good in the online space, but also a great deal of harm, and that must unite us all in delivering this legislation. We have waited a long time for this Bill, but we must come together, knowing that this is foundational legislation, which will have to be improved and developed alongside the technology, and that there is much more work to do.

    I start by focusing on a couple of the new clauses, beginning with Government new clause 11 on end-to-end encryption. The House will not be surprised by my background in dealing with end-to-end encryption, particularly the harmful content, the types of individuals and the perpetrators who hide behind end-to-end encryption. We must acknowledge the individuals who harm children or who peddle terrorist content through end-to-end encryption while recognising that encryption services are important to protect privacy.

    There is great justification for encryption—business transactions, working for the Government and all sorts of areas of importance—but we must acknowledge in this House that there is more work to do, because these services are being used by those who would do harm to our country, threaten our national interest or threaten the safety of young people and children in particular. We know for a fact that there are sick-minded individuals who seek to abuse and exploit children and vulnerable adults. The Minister will know that, and I am afraid that many of us do. I speak now as a constituency Member of Parliament, and one of my first surgery cases back in 2010 was the sad and tragic case of a mother who came to see me because her son had accessed all sorts of content. Thanks to the Bill, that content will now be ruled as harmful. There were other services associated with access that the family could not see and could not get access to, and encryption platforms are part of that.

    There are shocking figures, and I suspect that many of my colleagues in the House will be aware of them. Almost 100,000 reports relating to online child abuse were received by UK enforcement agencies in 2021 alone. That is shocking. The House will recognise my experience of working with the National Crime Agency, to which we must pay tribute for its work in this space, as we should to law enforcement more widely. Police officers and all sorts of individuals in law enforcement are, day in, day out, investigating these cases and looking at some of the most appalling images and content, all in the name of protecting vulnerable children, and we must pay tribute to them as well.

    It is also really shocking that that figure of 100,000 reports in 2021 alone is a 29% increase on the previous year. The amount of disturbing content is going up and up, and we are, I am afraid, looking only at the tip of the iceberg. So, I think it is absolutely right—and I will always urge the Government and whichever Secretary of State, be they in the Home Office, DMCS or the MOJ—to put the right measures and powers in place so that we act to prevent child sexual abuse and exploitation, prevent terrorist content from being shielded behind the platforms of encryption and, importantly, bring those involved to face justice. End-to-end encryption is one thing, but we need end-to-end justice for victims and the prevention of the most heinous crimes.

    This is where we, as a House, must come together. I commend the hon. Member for Rotherham (Sarah Champion) in particular for her work relating to girls, everything to do with the grooming gangs, and the most appalling crimes against individuals, quite frankly. I will always urge colleagues to support the Bill, on which we will need to build going forward.

    I think I can speak with experience about the difficulties in drafting legislation—both more broadly and specifically in this area, which is complex and challenging. It is hard to foresee the multiplicity of circumstances. My hon. Friend the Member for Folkestone and Hythe was absolutely right to say in his comments to the SNP spokesman, the hon. Member for Ochil and South Perthshire (John Nicolson), that we have to focus on illegal content. It is difficult to get the balance right between the lawful and harmful. The illegal side is what we must focus on.

    I also know that many campaigners and individuals—they are not just campaigners, but families—have given heartbreaking and devastating accounts of their experiences of online harms. As legislators, we owe them this Bill, because although their suffering is not something that we will experience, it must bring about the type of changes that we all want to see for everyone—children, adults and vulnerable individuals.

    May I ask the Minister for reassurances on the definition of “best endeavours”? As my right hon. Friend the Member for Basingstoke (Dame Maria Miller) touched on, when it comes to implementation, that will be the area where the rubber hits the road. That is where we will need to know that our collective work will be meaningful and will deliver protections—not just change, but protections. We must be honest about the many serious issues that will arise even after we pass the Bill—be it, God forbid, a major terrorist incident, or cases of child sexual exploitation—and there is a risk that, without clarity in this area, when a serious issue does arise, we may not know whether a provider undertook best endeavours. I think we owe it to everyone to ensure that we run a slide rule over this on every single granular detail.

    Cases and issues relating to best endeavours are debated and discussed extensively in court cases, coroner inquests and for social services relating to child safeguarding issues, for example—all right hon. and hon. Members here will have experience of dealing with social services on behalf of their constituents in child protection cases—or, even worse, in serious case reviews or public inquiries that could come in future. I worry that in any response a provider could say that it did its best and had undertaken its best endeavours, as a defence. That would be unacceptable. That would lead those affected to feel as if they suffered an even greater injustice than the violations that they experienced. It is not clear whether best endeavours will be enough to change the culture, behaviour and attitudes of online platforms.

    I raise best endeavours in the context of changing attitudes and cultures because in many institutions, that very issue is under live debate right now. That may be in policing, attitudes around women and girls or how we protect other vulnerable groups, even in other services such as the fire service, which we have heard about recently. It is important that we ask those questions and have the scrutiny. We need to hear more about what constitutes best endeavours. Who will hold the providers to account? Ofcom clearly has a role. I know the Minister will do a very earnest and diligent job to provide answers, but the best endeavours principle goes wider than just the Minister on the Front Bench—it goes across the whole of Government. He knows that we will give him every backing to use his sharp elbows—perhaps I can help with my sharp elbows—to ensure that others are held to account.

    It will also be for Ofcom to give further details and guidance. As ever, the guidance will be so important. The guidance has to have teeth and statutory powers. It has to be able to put the mirror up and hold people to account. For example, would Ofcom be able, in its notices to providers, to instruct them to use specific technologies and programmes to tackle and end the exposure to exploitation, in relation to end-to-end encryption services, to protect victims? That is an open question, but one that could be put to Ofcom and could be an implementation test. There is no reason why we should not put a series of questions to Ofcom around how it would practically implement.

    I would like to ask the Minister why vulnerable adults and victims of domestic abuse and violence against women and girls are not included. We must do everything in this House. This is not about being party political. When it comes to all our work on women and violence against women and girls, there should be no party politics whatsoever. We should ensure that what is right for one group is consistent and that the laws are strengthened. That will require the MOJ, as well as the Home Office, to ensure that the work is joined up in the right kind of way.

    It is right that powers are available for dealing with terrorist threats and tackling child sexual abuse thoroughly. There is some good work around terrorist content. There is excellent work in GIFCT, the Global Internet Forum to Counter Terrorism. The technology companies are doing great work. There is international co-operation in this space. The House should take some comfort in the fact that the United Kingdom leads the world in this space. We owe our gratitude to our intelligence and security agencies. I give my thanks to MI5 in particular for its work and to counter-terrorism policing, because they have led the world robustly in this work.

    Damian Collins

    My right hon. Friend makes an important point about this being a cross-Government effort. The Online Safety Bill creates a regulatory framework for the internet, but we need to make sure that we have the right offences in law clearly defined. Then, it is easy to read them and cross them with legislation. If we do not have that, it is a job for the whole of Government.

    Priti Patel

    Exactly that. My hon. Friend is absolutely right. I come back to the point about drafting this legislation, which is not straightforward and easy because of the definitions. It is not just about what is in scope of the Bill but about the implications of the definitions and how they could be applied in law.

    The Minister touched on the criminal side of things; interpretation in the criminal courts and how that would be applied in case law are the points that need to be fleshed out. This is where our work on CT is so important, because across the world with Five Eyes we have been consistent. Again, there are good models out there that can be built upon. We will not fix all this through one Bill—we know that. This Bill is foundational, which is why we must move forward.

    On new clause 11, I seek clarity—in this respect, I need reassurance not from the Minister but from other parts of government—on how victims and survivors, whether of terrorist activity, domestic abuse or violence against women and girls, will be supported and protected by the new safeguards in the Bill, and by the work of the Victims’ Commissioner.

    Rachel Maclean (Redditch) (Con)

    I thank my right hon. Friend for sharing her remarks with the House. She is making an excellent speech based on her considerable experience. On the specific issue of child sexual abuse and exploitation, many organisations, such as the Internet Watch Foundation, are instrumental in removing reports and web pages containing that vile and disgusting material. In the April 2020 White Paper, the Government committed to look at how the Internet Watch Foundation could use its technical expertise in that field. Does she agree that it would be good to hear from the Minister about how the Internet Watch Foundation could work with Ofcom to assist victims?

    Priti Patel

    My hon. Friend is absolutely right. I thank her for not just her intervention but her steadfast work when she was a Home Office Minister with responsibility for safeguarding. I also thank the Internet Watch Foundation; many of the statistics and figures that we have been using about child sexual abuse and exploitation content, and the take-downs, are thanks to its work. There is some important work to do there. The Minister will be familiar with its work—[Interruption.] Exactly that.

    We need the expertise of the Internet Watch Foundation, so it is about integrating that skillset. There is a great deal of expertise out there, including at the Internet Watch Foundation, at GIFCT on the CT side and, obviously, in our services and agencies. As my right hon. Friend the Member for Basingstoke said, it is crucial that we pool organisations’ expertise to implement the Bill, as we will not be able to create it all over again overnight in government.

    I thank my right hon. Friend the Member for Haltemprice and Howden (Mr Davis) for tabling new clause 16, which would create new offences to address the challenges caused by those who promote, encourage and assist self-harm. That has been the subject of much of the debate already, which is absolutely right when we think about the victims and their families. In particular, I thank the Samaritans and others for their work to highlight this important issue. I do not need to dwell on the Samaritans’ report, because I think all hon. Members have read it.

    All hon. Members who spoke in the early stages of the Bill, which I did not because I was in government, highlighted this essential area. It is important to ensure that we do everything we can to address it in the right way. Like all right hon. and hon. Members, I pay tribute to the family of Molly Russell. There are no words for the suffering that they have endured, but their campaign of bravery, courage and fortitude aims to close every loophole to stop other young people being put at risk.

    Right hon. and hon. Members meet young people in schools every week, and we are also parents and, in some cases, grandparents. To know that this grey area leaves so many youngsters at risk is devastating, so we have almost a collective corporate duty to stand up and do the right thing. The long and short of it is that we need to be satisfied, when passing the Bill, that we are taking action to protect vulnerable people and youngsters who are susceptible to dangerous communications.

    As I have emphasised, we should also seek to punish those who cause and perpetrate this harm and do everything we can to protect those who are vulnerable, those with learning disabilities, those with mental health conditions, and those who are exposed to self-harm content. We need to protect them and we have a duty to do that, so I look forward to the Minister’s reply.

    I welcome new clauses 45 to 50, tabled by my right hon. Friend the Member for Basingstoke. I pay tribute to her for her work; she has been a strong campaigner for protecting the privacy of individuals, especially women and children, and for closing loopholes that have enabled people to be humiliated or harmed in the ways she has spoken about so consistently in the House. I am pleased that the Deputy Prime Minister, my right hon. Friend the Member for Esher and Walton (Dominic Raab), announced last month that the Government would table amendments in the other place to criminalise the sharing of intimate images, photographs and videos without consent; that is long overdue. When I was Home Secretary I heard the most appalling cases, with which my right hon. Friend the Member for Basingstoke will be familiar. I have met so many victims and survivors, and we owe it to them to do the right thing.

    It would be reassuring to hear not just from the Minister in this debate, but from other Ministers in the Departments involved in the Bill, to ensure they are consistent in giving voice to the issues and in working through their Ministries on the implementation—not just of this Bill, but of the golden thread that runs throughout the legislation. Over the last three years, we have rightly produced a lot of legislation to go after perpetrators, and support women and girls, including the Domestic Abuse Act 2021. We should use those platforms to stand up for the individuals affected by these issues.

    I want to highlight the importance of the provisions to protect women and girls, particularly the victims and survivors of domestic abuse and violence. Some abusive partners and ex-partners use intimate images in their possession; as the Minister said, that is coercive control which means that the victim ends up living their life in fear. That is completely wrong. We have heard and experienced too many harrowing and shocking stories of women who have suffered as a result of the use of such images and videos. It must now be a priority for the criminal justice system, and the online platforms in particular, to remove such content. This is no longer a negotiation. Too many of us—including myself, when I was Home Secretary—have phoned platforms at weekends and insisted that they take down content. Quite frankly, I have then been told, “Twitter doesn’t work on a Saturday, Home Secretary” or “This is going to take time.” That is not acceptable. It is an absolute insult to the victims, and is morally reprehensible and wrong. The platforms must be held to account.

    Hon. Members will be well aware of the Home Office’s work on the tackling violence against women and girls strategy. I pay tribute to all colleagues, but particularly my hon. Friend the Member for Redditch (Rachel Maclean), who was the Minister at the time. The strategy came about after much pain, sorrow and loss of life, and it garnered an unprecedented 180,000 responses. The range of concerns raised were predominantly related to the issues we are discussing today. We can no longer stay mute and turn a blind eye. We must ensure that the safety of women in the public space offline—on the streets—and online is respected. We know how women feel about the threats. The strategy highlighted so much; I do not want to go over it again, as it is well documented and I have spoken about it in the House many times.

    It remains a cause of concern that the Bill does not include a specific VAWG code of practice. We want and need the Bill. We are not going to fix everything through it, but, having spent valued time with victims and survivors, I genuinely believe that we could move towards a code of practice. Colleagues, this is an area on which we should unite, and we should bring such a provision forward; it is vital.

    Let me say a few words in support of new clause 23, which was tabled by my right hon. Friend the Member for Basingstoke. I have always been a vocal and strong supporter of services for victims of crime, and of victims full stop. I think it was 10 years ago that I stood in this House and proposed a victims code of practice—a victims Bill is coming, and we look forward to that as well. This Government have a strong record of putting more resources into support for victims, including the £440 million over three years, but it is imperative that offenders—those responsible for the harm caused to victims—are made to pay, and it is absolutely right that they should pay more in compensation.

    Companies profiteering from online platforms where these harms are being perpetrated should be held to account. When companies fail in their duties and have been found wanting, they must make a contribution for the harm caused. There are ways in which we can do that. There has been a debate already, and I heard the hon. Member for Pontypridd (Alex Davies-Jones) speak for the Opposition about one way, but I think we should be much more specific now, particularly in individual cases. I want to see those companies pay the price for their crimes, and I expect the financial penalties issued to reflect the severity of the harm caused—we should support that—and that such money should go to supporting the victims.

    I pay tribute to the charities, advocacy groups and other groups that, day in and day out, have supported the victims of crime and of online harms. I have had an insight into that work from my former role in Government, but we should never underestimate how traumatic and harrowing it is. I say that about the support groups, but we have to magnify that multiple times for the victims. This is one area where we must ensure that more is done to provide extra resources for them. I look forward to hearing more from the Minister, but also from Ministers from other Departments in this space.

    I will conclude on new clause 28, which has already been raised, on the advocacy body for children. There is a long way to go with this—there really is. Children are harmed in just too many ways, and the harm is unspeakable. We have touched on this in earlier debates and discussions on the Bill, in relation to child users on online platforms, and there will be further harm. I gently urge the Government —if not today or through this Bill, then later—to think about how we can pull together the skills and expertise in organisations outside this House and outside Government that give voice to children who have nowhere else to go.

    This is not just about the online space; in the cases in the constituency of the hon. Member for Rotherham (Sarah Champion) and other constituencies, we have seen children being harmed under cover. Statutory services failed them and the state failed them. It was state institutional failure that let children down in the cases in Rotherham and other child grooming cases. We could see that all over again in the online space, and I really urge the Government to make sure that that does not happen—and actually never happens again, because those cases are far too harrowing.

    There really is a lot here, and we must come together to ensure that the Bill comes to pass, but there are so many other areas where we can collectively put aside party politics and give voice to those who really need representation.

  • Julian Knight – 2022 Speech on the Online Safety Bill

    Julian Knight – 2022 Speech on the Online Safety Bill

    The speech made by Julian Knight, the Chair of the Culture Select Committee, in the House of Commons on 5 December 2022.

    I welcome the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Sutton and Cheam (Paul Scully), to his place. To say that he has been given a hospital pass in terms of this legislation is a slight understatement. It is very difficult to understand, and the ability he has shown at the Dispatch Box in grasping many of the major issues is to his credit. He really is a safe pair of hands and I thank him for that.

    Looking at the list of amendments, I think it is a bit of a hotchpotch, yet we are going to deal only with certain amendments today and others are not in scope. That shows exactly where we are with this legislation. We have been in this stasis now for five years. I remember that we were dealing with the issue when I joined the Digital, Culture, Media and Sport Committee, and it is almost three years since the general election when we said we would bring forward this world-leading legislation. We have to admit that is a failure of the political class in all respects, but we have to understand the problem and the realities facing my hon. Friend, other Ministers and the people from different Departments involved in drafting this legislation.

    We are dealing with companies that are more powerful than the oil barons and railway barons of the 19th century. These companies are more important than many states. The total value of Alphabet, for instance, is more than the total GDP of the Netherlands, and that is probably a low estimate of Alphabet’s global reach and power. These companies are, in many respects, almost new nation states in their power and reach, and they have been brought about by individuals having an idea in their garage. They still have that culture of having power without the consequences that flow from it.

    These companies have created wonderful things that enhance our lives in many respects through better communication and increased human knowledge, which we can barely begin to imagine, but they have done it with a skater boy approach—the idea that they are beyond the law. They had that enshrined in law in the United States, where they have effectively become nothing more than a megaphone or a noticeboard, and they have always relied on that. They are based or domiciled, in the main, in the United States, which is where they draw their legal power. They will always be in that position of power.

    We talk about 10% fines and even business interruption to ensure these companies have skin in the game, but we have to realise these businesses are so gigantic and of such importance that they could simply ignore what we do in this place. Will we really block a major social media platform? The only time something like that has been done was when a major social media platform blocked a country, if I remember rightly. We have to understand where we are coming from in that respect.

    This loose cannon, Elon Musk, is an enormously wealthy man, and he is quite strange, isn’t he? He is intrinsically imbued with the power of silicon valley and those new techno-masters of the universe. We are dealing with those realities, and this Bill is very imperfect.

    Mr David Davis

    My hon. Friend is giving a fascinating disquisition on this industry, but is not the implication that, in effect, these companies are modern buccaneer states and we need to do much more to legislate? I am normally a deregulator, but we need more than one Bill to do what we seek to do today.

    Julian Knight

    My right hon. Friend is correct. We spoke privately before this debate, and he said this is almost five Bills in one. There will be a patchwork of legislation, and there is a time limit. This is a carry-over Bill, and we have to get it on the statute book.

    This Bill is not perfect by any stretch of the imagination, and I take the Opposition’s genuine concerns about legal but harmful material. The shadow Minister mentioned the tragic case of Molly Russell. I heard her father being interviewed on the “Today” programme, and he spoke about how at least three quarters of the content he had seen that had prompted that young person to take her life had been legal but harmful. We have to stand up, think and try our best to ensure there is a safer space for young people. This Bill does part of that work, but only part. The work will be done in the execution of the Bill, through the wording on age verification and age assurance.

    Dame Maria Miller

    Given the complexities of the Bill, and given the Digital, Culture, Media and Sport Committee’s other responsibilities, will my hon. Friend join me in saying there should be a special Committee, potentially of both Houses, to keep this area under constant review? That review, as he says, is so badly needed.

    Julian Knight

    I thank my right hon. Friend for her question, which I have previously addressed. The problem is the precedent it would set. Any special Committee set up by a Bill would be appointed by the Whips, so we might as well forget about the Select Committee system. This is not a huge concern for the Digital, Culture, Media and Sport Committee, because the advent of any such special Committee would probably be beyond the next general election, and I am not thinking to that timeframe. I am concerned about the integrity of Parliament. The problem is that if we do that in this Bill, the next Government will come along and do it with another Bill and then another Bill. Before we know it, we will have a Select Committee system that is Whips-appointed and narrow in definition, and that cuts across something we all vote for.

    There are means by which we can have legislative scrutiny—that is the point I am making in my speech. I would very much welcome a Committee being set up after a year, temporarily, to carry out post-legislative scrutiny. My Committee has a Sub-Committee on disinformation and fake news, which could also look at this Bill going forward. So I do not accept my right hon. Friend’s point, but I appreciate completely the concerns about our needing proper scrutiny in this area. We must also not forget that any changes to Ofcom’s parameters can be put in a statutory instrument, which can by prayed against by the Opposition and thus we would have the scrutiny of the whole House in debate, which is preferable to having a Whips-appointed Committee.

    I have gone into quite a bit of my speech there, so I am grateful for that intervention in many respects. I am not going to touch on every aspect of this issue, but I urge right hon. and hon. Members in all parts of the House to think about the fact that although this is far from perfect legislation and it is a shame that we have not found a way to work through the legal but harmful material issue, we have to understand the parameters we are working in, in the real world, with these companies. We need to see that there is a patchwork of legislation, and the biggest way in which we can effectively let the social media companies know they have skin in the game in society—a liberal society that created them—is through competition legislation, across other countries and other jurisdictions. I am talking about our friends in the European Union and in the United States. We are working together closely now to come up with a suite of competition legislation. That is how we will be able to cover off some of this going forward. I will be supporting this Bill tonight and I urge everyone to do so, because, frankly, after five years I have had enough.

  • PRESS RELEASE : Two Leicestershire company directors, Savio Gilbert Pereira and Sajid Anver Valimohammed, banned for a total of 19 years [December 2022]

    PRESS RELEASE : Two Leicestershire company directors, Savio Gilbert Pereira and Sajid Anver Valimohammed, banned for a total of 19 years [December 2022]

    The press release issued by HM Treasury on 6 December 2022.

    Savio Gilbert Pereira, 46, and Sajid Anver Valimohammed, 37, have been disqualified as company directors for a total of 19 years following separate Insolvency Service investigations which uncovered financial misconduct.

    Pereira, of Market Harborough was sole director of Himalayan Zest Takeaway Limited, which was incorporated in April 2018 and traded as Himalayan Zest on Market Street in Lutterworth until it went into liquidation in November 2021.

    In June 2020, Pereira applied for a Bounce Back Loan on behalf of Himalayan Zest. Bounce Back Loans were government-backed loans designed to help businesses stay afloat during the Covid-19 pandemic.

    Under the rules of the scheme, companies could apply for loans of between £2,000 and £50,000, up to a maximum of 25% of their turnover for 2019.

    Pereira stated that Himalayan Zest’s turnover was around £207,500, which allowed the restaurant to receive the maximum £50,000 loan.

    When the business went into liquidation the following year owing around £51,500, it triggered an investigation by the Insolvency Service which found that Pereira had exaggerated Himalayan Zest’s turnover in order to falsely claim the loan.

    Investigators discovered that the company only had around £54,600 in its bank account following receipt of the Bounce Back Loan, and between June and August that year, Pereira had made a £10,000 payment to himself, £28,000 in various debit payments to an unknown recipient and had withdrawn a total of £16,800 in cash.

    Pereira was unable to prove that these transactions were for the economic support of the restaurant.

    A second director, Sajid Anver Valimohammed, of Leicester, was director of J Dee Designs Ltd, which was incorporated in July 2019 and traded as a fashionwear finisher from Upper Charnwood Street in Leicester until it went into liquidation in December 2020.

    But Valimohammed had failed to keep business accounts and records – a legal requirement of company directors – and was unable to hand them over to the company’s liquidators, which led to an investigation by the Insolvency Service.

    Investigators discovered that Valimohammed had withdrawn more than £286,000 from the company bank account through 199 separate transfers with the reference ‘Mrref Self FT’ during the time J Dee Design was in business.

    They found that around £315,300 was withdrawn from J Dee Design’s bank account during the period – including £30,000 from a Bounce Back Loan that the company had applied for – but Valimohammed could not prove that the transactions were for legitimate trading activity, or whether the loan money had been used for the benefit of the company.

    And due to his failure to keep company accounts, investigators were also unable to verify whether J Dee Designs had paid the correct amount of tax it owed, or to ascertain the true financial position of the company when it went into liquidation, including whether liquidators would be able to make any recovery of debts.

    Valimohammed did not contest the disqualification order at court and was banned from being a director for 8 years on 9 November this year. His ban began on 30 November and the court also awarded full costs to the Insolvency Service.

    Separately, the Secretary of State accepted a disqualification undertaking from Savio Pereira in October, after he did not dispute that he had caused his restaurant to falsely apply for a Bounce Back Loan of £50,000, and had failed to use the money for the economic benefit of the company.

    Pereira’s disqualification started on 15 November this year and lasts for 11 years. The bans prevent the two directors from directly or indirectly becoming involved in the promotion, formation or management of a company, without the permission of the court.

    Dave Elliott, Chief Examiner at The Insolvency Service, said,

    “The Insolvency Service takes Bounce Back Loan abuse and the failure to keep, preserve and deliver up books and records very seriously.

    “The length of these directors’ bans reflects the gravity of their misconduct, and should serve as a warning to others.”

  • PRESS RELEASE : Grants link in Scotland to boost Fair Work [December 2022]

    PRESS RELEASE : Grants link in Scotland to boost Fair Work [December 2022]

    The press release issued by the Scottish Government on 6 December 2022.

    Improving pay and working conditions through public sector investment.

    Organisations applying for public sector grants will need to pay at least the real Living Wage and provide channels for staff to have a say in the workplace from July 2023.

    The condition applies to organisations receiving grants from the Scottish Government, enterprise agencies and public bodies. Exceptions may only be applied to emergency funding and where an organisation is heavily dependent on grant funding and paying the real Living Wage would threaten its survival.

    The new requirements form part of the Scottish Government and the Scottish Green Party Parliamentary Group Bute House Agreement, a plan to work together to build a fairer and more equal economy.

    Employment and Fair Work Minister Richard Lochhead and Green Skills, Circular Economy and Biodiversity Minister Lorna Slater visited MiAlgae, an Edinburgh industrial biotechnology company that has received public sector funding and whose staff are paid at least the real Living Wage and have a voice in the workplace.

    Mr Lochhead said:

    “The Scottish Government is committed to using public sector investment to drive up wages, tackle inequalities and give employees an effective voice.

    “This policy is a significant step in strengthening our fair work agenda. For example, in 2021-22 Scottish Enterprise issued £135 million in grants to 953 businesses.

    “Fair work and fair pay are good for business. They help improve staff retention and productivity, reduce recruitment costs and contribute to a skilled and motivated workforce.

    “Scotland is already leading the way on paying the real Living Wage. In 2022 a record 91 per cent of employees aged over 18 earned the real Living Wage or more in Scotland – higher than the UK as a whole and above any other UK country. There are more than 2,900 accredited real Living Wage employers, which is proportionately five times as many as in the rest of the UK.

    “Grant conditionality will strengthen our vision that by 2025, people in Scotland will have a world-leading working life where fair work drives success, wellbeing and prosperity for individuals, businesses, organisations and society.”

    Ms Slater said:

    “An effective voice for workers is vital to ensure better terms and conditions, worker wellbeing and developing progressive and fairer work places.

    “The ability to speak, individually or collectively, and to be listened to, is essential to improving workers experience as well as improving organisational performance.

    “We will work with employers, workers and trade unions, to continue improving the terms and conditions for employees of organisations applying for a public sector grant.”

    MiAlgae Operations Director Dr Johann Partridge said:

    “At MiAlgae, the real Living Wage was something we have been fully committed to since the beginning. As an organisation our people are our most important asset and, for us, a happy and engaged team is crucial to our operations.

    “Having open channels of communication between staff across every level and area of the business is something we are passionate about. We strive to ensure each member of our team feels empowered and confident to communicate and engage with each other about all elements of our work.”

  • PRESS RELEASE : £60m for disabled children in first year of new Scottish benefit [December 2022]

    PRESS RELEASE : £60m for disabled children in first year of new Scottish benefit [December 2022]

    The press release issued by the Scottish Government on 2 December 2022.

    Minister urges those eligible to apply

    Almost £60 million has been distributed to thousands of families with disabled children in the first year of a new Scottish benefit.

    The latest official figures from Social Security Scotland show the families of nearly 44,000 children and young people were receiving Child Disability Payment in September this year.

    The benefit replaces the DWP’s Disability Living Allowance for Children and helps cover the extra costs of caring for a child who is disabled, has a health condition or is terminally ill.

    Minister for Social Security Ben Macpherson said:

    “Caring for a child who is disabled or has a long-term ill-health condition can result in extra costs for families, from buying specialist equipment to paying for taxis to get to appointments. It can also be more expensive for children with disabilities to take part in the activities and opportunities with their peers.

    “Child Disability Payment helps parents to support their children and assists young people to live their lives to the fullest. It is welcome news that around 44,000 families are now receiving Child Disability Payment, a year after we rolled it out across Scotland.

    “With the increasing financial pressures on families, it is important people are receiving all the benefits they are entitled to. I urge anyone who thinks they or their child may be eligible to get in touch with Social Security Scotland, as well as checking if they may be entitled to extra financial support by visiting costofliving.campaign.gov.scot/”

    One parent who knows the difference Child Disability Payment can make, is mum Heather, whose son has autism and ADHD.

    Heather said: “Before applying for Child Disability Payment, my son was struggling. He found school very hard and didn’t think he was good at anything. He couldn’t focus, didn’t have friends and was worried he’d never be able to get a job. His self-esteem was so low.

    “Child Disability Payment allowed me to buy him a computer and pay for outdoor school sessions. That might not sound like much but it’s changed his life.

    “The outdoor school lets him learn in much smaller groups and in an active way that suits his brain. The computer and the games have let him learn new skills including maths, something he found impossible before.

    “He’s also discovered he’s exceptionally good at games. That’s given him something to feel proud of for the first time and something to talk to other children about.

    “He’s now talking about becoming a game developer or working for a big tech company.

    “It if wasn’t for Child Disability Payment there’s no way I could have afforded any of that and he’d still be the same boy who cried every night not wanting to go to school.

    “I’d urge any parent or carer who thinks they might be eligible to look into applying for Child Disability Payment.

    “The process is much simpler than you might think and the money could change your child’s life.”

    The latest figures show 34,000 people who had been receiving Disability Living Allowance for Children before Child Disability Payment was rolled out, have had their award transferred to Social Security Scotland.

    The majority of those still receiving Disability Living Allowance for children in Scotland are expected to have their awards transferred by Spring next year, with no need for the recipient to take any action and no break in payments.

  • PRESS RELEASE : Attracting Investment in Scotland for a net zero future [December 2022]

    PRESS RELEASE : Attracting Investment in Scotland for a net zero future [December 2022]

    The press release issued by the Scottish Government on 1 December 2022.

    Developing policy with green investors in mind.

    Scotland’s attractiveness to global investors will be enhanced by the establishment of the First Minister’s Investor Panel.

    The expert panel of investors and asset managers will advise on how Scotland can create the right conditions to attract global capital investment to develop the physical infrastructure required for a just transition. Its remit includes areas such as offshore wind, hydrogen and the decarbonisation of transport.

    Members have been selected for their experience and expertise, bringing together a wealth of knowledge to provide market intelligence in current and future green investment opportunities.

    First Minister Nicola Sturgeon and Angus MacPherson, CEO at Noble & Company, will co-chair the Panel, which will meet for the first time on 12 December.

    Speaking at TheCityUK Annual Conference in Edinburgh, the First Minister said:

    “Securing capital investment from sources within Scotland, across the UK, and right around the world is fundamental to enabling us to achieve our wider ambitions for the economy. Tackling the climate crisis is both a moral obligation and an economic opportunity. We have the chance to establish Scotland as a major centre for green and ethical finance, while helping Scotland – and perhaps also the wider world – to move to net zero.

    “The investor panel demonstrates the Scottish Government’s determination to work with the investor community. We know how crucial it is to support sustainable growth and we want to use insights and expertise from the sector as we recover from the pandemic, get through the cost of living crisis, and ensure a just and rapid transition to net zero.”

    Angus MacPherson, co-chair of the Panel, said:

    “I am delighted to accept the First Minister’s invitation to Co-chair the Investor Panel.

    “There is a clear and compelling case for the private and public sectors to work together to address the global challenges we face, particularly on the need to transition to net zero.

    “I look forward to working with the First Minister and panel members to explore how we can attract mobile capital investment, maximise current and future growth opportunities and help deliver a just transition to net zero.”

    Miles Celic, Chief Executive Officer at TheCityUK, said:

    “Scotland’s financial and related professional services industry has always had innovation at its core. It has long played an important role in driving growth and opportunity here at home and around the world. To build on this success and unlock the investment needed to fund critical projects for a Net-Zero future in Scotland and beyond, a close partnership between government, industry and regulators is essential.”

  • PRESS RELEASE : Scottish Economy falls by 0.2% in the third quarter of 2022 [November 2022]

    PRESS RELEASE : Scottish Economy falls by 0.2% in the third quarter of 2022 [November 2022]

    The press release issued by the Scottish Government on 30 November 2022.

    A National Statistics Publication for Scotland.

    The Chief Statistician has released statistics showing that the economy fell by 0.2% during the third quarter of 2022, covering the period July to September.

    Monthly statistics also released today show that GDP is estimated to have contracted by 0.6% in September, with decreases across the construction and production sectors.

    Change in gross domestic product (GDP) is the main indicator of economic growth. Over the year, compared to the third quarter of 2021, the economy has grown by 2.9%.

    During the third quarter output in the Construction sector fell by 0.3%, output in Production contracted by 1.0%, and output in the Services sector remained unchanged (0.0% growth).

    The second estimate of GDP for the third quarter of 2022 will be available in Quarterly National Accounts Scotland, published on 1 February 2023.