Clause 7 - Control powers: supplementary
Export Control Bill
4:30 pm
Mr Nigel Griffiths (Parliamentary Under-Secretary, Department of Trade and Industry; Edinburgh South, Labour)
The amendment is unnecessary because the Government already possess the power to revoke export licences. Perhaps it would be useful to the Committee if I explained the position now and as it will be under the Bill.
The current position under the Import, Export and Customs Powers (Defence) Act 1939 is that the Secretary of State has the power to revoke any form of licence, whether open or individual. Such revocation may, for example, take place where there is clear evidence that an undertaking given by the end user is likely to be broken where the situation in the recipient country changes significantly after a licence is issued. Revocation may apply where new information comes to light after a licence has been issued that would have led to refusal of the application. Another point worth mentioning is that if we had reliable evidence of a past breach of end-use undertaking, or a risk of diversion in relation to a specific destination, that would certainly be a factor to be taken into consideration in assessing any future licence applications involving that end user or destination. Those are the sorts of licence that I, as the Minister, consider. They do come up and they are considerations that are given the most active attention.
As to the new Bill, the dummy orders that we provided to the Committee contain revocation provisions. In particular, the dummy order on Exports of Goods, Transfer of Technology and Provision of Technical Assistance, which are all issues mentioned in the amendment, provide for the revocation of licences in article 10(5). The dummy order on Trade in Controlled Goods provides for revocation under article 5(2). The example that we provided in the dummy order giving effect to an embargo includes revocation of article 4(2). The circumstances in which revocation would be considered are the same under the Bill as in existing legislation. All matters to which the amendment relates are already fully accommodated within the dummy orders on the basis of the power contained in clause 7.
The power of revocation follows the well established precedent in the 1939 Act whereby the related secondary legislation also contained the revocation provisions. In the case of the Export of Goods (Control) Order 1994, a copy of which we provided to the Committee before the recess, article 7(1) mentions the revocation control.
For us, the key issue is for the Secretary of State to possess the necessary powers of revocation, and that power is contained in clause 7. The Bill does not need to include detailed provisions about this matter, and I therefore invite the hon. Gentleman to withdraw the amendment.