Lord Davies of Gower:

Moved by Lord Davies of Gower

46: After Clause 34, insert the following new Clause—“Review of the impact on the night-time economy(1) Within 18 months of the day on which this Act is passed, the Secretary of State must lay before Parliament a report reviewing the impact of the provisions in this Act on the night-time economy, jobs and growth.(2) The report must include an assessment of the impact of this Act on—(a) public houses,(b) nightclubs,(c) bars,(d) restaurants,(e) cinemas, and(f) any other late-opening venues that the Secretary of State considers to be part of the night-time economy.”Member's explanatory statementThis new Clause seeks to require the Secretary of State to produce a report reviewing the impact this Act on the night-time economy, jobs and growth.

My Lords, I rise to speak to my Amendment 46 and in support of Amendment 47 tabled by my noble friend Lord Sandhurst. These amendments address two crucial concerns regarding the implementation and potential impact of the Terrorism (Protection of Premises) Bill: the effect on the night-time economy and the importance of proper consultation and guidance for businesses.

The first amendment, Amendment 46, would require the Secretary of State to lay a report before Parliament within 18 months of the Act’s passage reviewing its impact on the night-time economy, jobs and growth. Specifically, it would assess the effects on public houses, nightclubs, bars, restaurants, cinemas and other late-opening venues. The night-time economy is a vital part of our nation’s cultural and economic life. It provides employment for thousands of people, contributes billions of pounds to the economy and plays a central role in fostering vibrant communities. However, it is also an industry that has faced significant challenges in recent years, first with the disruption caused by the Covid-19 pandemic and now with rising operational costs and economic uncertainty.

While the security measures outlined in this Bill are essential to protect the public from the threat of terrorism, it is vital that we do not inadvertently place an unsustainable burden on businesses in the night-time economy. Venues that already operate on tight profit margins may struggle to absorb the costs associated with implementing new security requirements, such as enhanced surveillance, access control systems and staff training. By requiring a formal review of the Act’s impact on this sector, Amendment 46 would provide an essential mechanism for accountability and evidence-based policy-making. It would ensure that Parliament remains informed about any unintended consequences and allows for adjustments to be made if necessary. Crucially, this review would help strike the right balance between public safety and economic vitality.

The second amendment, Amendment 47, seeks to delay the commencement of Parts 1 and 2 until draft guidance has been issued to businesses and a proper consultation has taken place. This is a sensible and pragmatic approach that prioritises clarity and fairness for businesses. It is one thing to pass legislation, but it is another to implement it effectively and responsibly. For businesses, particularly small and medium-sized enterprises, sudden and unclear regulatory changes can be disruptive and costly. Without proper guidance, there is a real risk that businesses may struggle to understand their obligations under the Act, leading to confusion, non-compliance and potentially adverse outcomes for security and commerce.

By ensuring that draft guidance is published and consultations are conducted before the Act’s provisions come into force, Amendment 47 would promote a smoother and more co-operative transition. It would allow businesses to prepare adequately, understand the requirements and implement the necessary measures in a way that is both effective and economically viable. Moreover, consultation with businesses is essential to ensuring that the measures introduced are practical and proportionate. Those who operate public venues have valuable insights into the challenges and realities of implementing security measures, and their input can help shape more effective and workable solutions.

Amendments 48 and 49 are probing amendments on the timescale for implementation of the Act. We discussed implementation timescales briefly on the first day in Committee, and the Minister confirmed that the Government think that the Bill will take a two-year period to implement. I have tabled these amendments to understand better how that period will work. Can the Minister confirm which parts of the Bill are likely to be implemented before that two-year period has elapsed? Can he give us an indication of whether the Government are firmly committed to implementing the Bill in full by the end of the two years? We feel very strongly that it would be helpful for organisations and events that would be affected by the Bill’s measures to have as much information as possible as soon as possible. Can the Government confirm how they will keep those organisations and events updated on progress so that they can plan appropriately?

In conclusion, these amendments do not seek to weaken the Bill or undermine its vital security objectives. On the contrary, they would strengthen it by ensuring that its implementation is thoughtful, measured and responsive to the needs of businesses and communities. Amendment 46 would provide a mechanism for accountability and assessment, ensuring that the impact on the night-time economy is carefully monitored. Amendment 47 would prioritise proper consultation and guidance, fostering co-operation and compliance among businesses. I urge the Government and noble Lords to support these amendments as a means of enhancing the effectiveness and fairness of this important legislation. Together, they represent a balanced and pragmatic approach that upholds public safety and economic resilience. I beg to move.

My Lords, I wholeheartedly support Amendment 46 in the names of the noble Lords, Lord Davies of Gower and Lord Sandhurst, and I look forward to hearing the noble Lord, Lord Sandhurst. I wanted to put my name on this group, but I missed the deadline. I think it is a crucial group and I hope that the Government will be very positive about it, because the night-time economy is very worried that its venues are going to be badly affected by this, and I think it would be very constructive for the Government to adopt this amendment as some kind of reassurance.

I was inspired, indirectly at least, to get involved in supporting Amendment 46 by the Prime Minister. Yesterday, on the front page of the Daily Mirror, Keir Starmer was saying that he backed the fight to save the great British pub:

“there's nothing any of us like better than going to the local for a pint, myself included”.

He said:

“They are the places where friends, family, community come together around something which is very British – the pub. It’s a place of warmth, of opportunity, to have a nice time with friends, family and for people to have the friendship and engagement that is so important to their wellbeing”.

The Prime Minister was supporting a campaign to save pubs precisely because pubs are struggling. Data from the Valuation Office Agency in December showed that the number of pubs in England and Wales fell by 402 last year. That was a net figure that took into account new pubs opening but did not include premises standing empty that are still classified as pubs. As pub numbers have plunged by more than 2,000 since the start of 2020, and with industry experts such as AlixPartners warning that 3,000 more pubs, bars, restaurants and clubs are at risk of closing in 2025, I want the Government to note that this Bill represents another burden and that we should at least keep our eye on, monitor and be accountable about whether unintended consequences will damage the sector.

Publicans and experts blame a cocktail of supply and staffing costs, rising energy bills, and those controversial, crippling national insurance contributions, but stakeholders raise all the time regulatory demands and the costs in terms of licensing. There is a certain dread of what this legislation will mean, especially because pubs are trying to make more of themselves as venues—for example, for quiz nights and community choirs. In Neil Davenport’s “Letter on Liberty”, Pubs: Defending the Free House, there is a discussion about a mini boom post-lockdown of pubs as new live-music venues. That thrill of face-to-face live events and the public square as a place of freedom is lucrative as well, so we need to be careful that this Bill does not unintentionally end up killing that off.

There is obviously a similar story with nightclubs. I will not go into that, except to note that the night-time economy, particularly nightclubs, generates billions of pounds directly. There is also secondary spending across transportation, security and food services, so this regulatory burden needs to be looked at.

When I thought about speaking on this, I thought: how is it going to seem, right at the end of the Bill, if I stand up and say that going to the pub and going out clubbing is more important than public safety? I was frightened that might be the interpretation, which is why I tried to give myself a bit of cover by quoting the Prime Minister. I do not think that fear of the unintended consequences of potential mission creep, or things that have not been seen, or the impact on an industry, should be treated as trivial.

I have friends who are involved in running nightclubs in Tel Aviv—arguably one of the night-time industry capitals of the world, let alone the Middle East. They really are security conscious and they know something about the threat of terrorism. When I showed them this Bill, they were quite shocked at its overregulatory nature. I simply raise that because I am worried that this Bill is not going to address the public safety issues. That is very important, at the very least in terms of the points made already about evidence-based accountability under this policy.

I refer back to what the Minister said when he was explaining the Henry VIII powers in the Bill, which I disagree with. He said we need to be able to respond with flexibility for different circumstances. I understand that. One of the things that appeals to me about this review is that if the Government see, after 18 months, that the Bill is not actually leading to more public safety but is killing off a very important industry for a free society then we can adapt accordingly. If we do not have the review, we will never know.

I speak to Amendments 46 to 49. I adopt everything that my noble friend Lord Davies has already said, so I can be short.

Amendment 46, which is a probing amendment, is very simple. We all know we cannot let the terrorist indulge in preventable acts of terror. I emphasise “preventable”. Equally, we cannot allow the threat of terror to close down society and normal life as we now understand it to be. Also, it must be plain that once the Act has been enforced for 18 months, people will have a better idea of what may and may not work, so a review at that stage will be helpful to everyone. It is a shakedown period and it will cut both ways.

As to Amendment 47 and the six-month delay of commencement, that is simply to impose a minimum period—it can be longer if appropriate—before regulations and other actions can be taken by requiring draft guidance to have been issued and consulted on first. This will simply ensure that businesses and other bodies are properly consulted before guidance is finalised. It will ensure that the consultation on the guidance has preceded the laying of regulations. We are moving into new territory. A wide range of powers is being exercised over disparate bodies and a wide range of organisations in respect of matters which have not previously been subject to such detailed supervision. It is obviously right that those affected should be consulted. That will apply to the potential enforcers—the SIA and local authorities—as well as to those on the receiving end who are running the establishments and organisations where these regulations will apply.

Finally, Amendments 48 and 49 are simply probing amendments on the timescale. We have heard that it may take two years to come into force. We tabled these amendments, as my noble friend has said, to test how that period will work.

I am grateful to noble Lords for tabling the amendments today. I hope I can respond to them in a positive and reassuring manner.

First, I will look at Amendment 46 in the names of the noble Lords, Lord Davies of Gower and Lord Sandhurst. All through this debate, at Second Reading, in Committee, and in discussions that we have had outside of this Chamber, we have been keen to reassure noble Lords that we are trying to strike the right balance between public protection and burdens on premises and events. In fact, I prefer the word “standards” to “burdens”; a burden is something that is difficult. What we are trying to put in place is a number of basic standards which it is important for businesses and organisations to meet.

I have said throughout consideration of the Bill in Committee and at Second Reading that, following Royal Assent, we expect that there will be a period of at least 24 months to give us the time to ensure that those responsible for premises and the events in scope understand the new obligations, that they have time to plan and prepare, and—to go back to previous discussions —any training required of volunteers or staff is undertaken.

The proposed timetable in Amendment 46 of 18 months would, with respect, be before any detailed action has been taken under the provisions of the Act. It would assess the preparations generally, as opposed to the actual impact and implementation downstream. Ministers, including myself and my right honourable friend Dan Jarvis will keep legislation under review, including its effectiveness, impact and implementation. Should unintended consequences be identified, the Bill provides powers, which have been subject to debate, to adjust the regime as appropriate. I hope the noble Lord will reflect on Amendment 46 and, when the time comes, withdraw the amendment.

On Amendment 47 in the name of the noble Lord, Lord Sandhurst, there will be a 24-month implementation period before the Act is commenced. The Government intend to issue guidance under Clause 27, published before commencement. The amendment in the name of the noble Lord seeks to put some timeframes on that. I think it is best to leave that to judgment, both in the guidance and in the consultation on that guidance with key partners.

Again, the 24-month period covers Amendments 48 and 49, in the names of the noble Lords, Lord Davies and Lord Sandhurst. The implementation period will allow those in scope to prepare for and comply with the new obligations. It is important that the SIA, particularly, is operating as soon as is practical. The Government must be certain that it is ready for its new role. We anticipate that this will take at least 24 months—it might take slightly longer—in the light of previous timeframes for other regulators introduced under previous legislation.

I do not anticipate any delays in commencement, but I want to keep the flexibility and appropriate ability for the Government to pick an appropriate commencement date when the Government assess that the SIA has fulfilled its duties, as we anticipate them under the Act, and that the organisations impacted by the Act at that stage are fully prepared and cognisant and are able to implement. Again, I gently suggest to the noble Lord that it would not be sensible for the Secretary of State to be driven by a tied provision in the Act, as opposed to the judgment that, as I have said to the Committee, will look in due course at whether or not we put those provisions in place.

Generally, in relation to Amendments 48 and 49, the 24-month period is what I would hope to be a realistic time to establish the set-up of the regulator and for those in scope of the Bill to prepare. If the Bill achieves Royal Assent, which I hope it will, the noble Lord, this House, the House of Commons and the court of public opinion—that is, the people in businesses and pubs and others who will be impacted by this legislation—have the opportunity to feed into both the Government for their guidance and the SIA for its guidance, as well as into the debate generally about implementation, about how they think the Act is going and what measures are being put in place. A formal consultation or review, as outlined and supported by the noble Baroness, Lady Fox of Buckley, would inhibit that process and set formal timescales that would not be helpful. This House remains the first port of call for any concern or points that noble Lords may want to raise about the implementation downstream. I hope that reassurance means that the noble Lord will withdraw his amendment.

My Lords, I am grateful to those who have spoken, including the noble Baroness, Lady Fox—who talked about the unintended consequences of the Bill, which are a worry—and my noble friend Lord Sandhurst. I thank the Minister for his response, particularly about striking the right balance. I am pleased to hear that he will keep its effectiveness under review and revisit it. On the issue of 24 months, the Minister assures me that he does not anticipate delays, and I will keep his words in mind. For the time being, I am happy to withdraw the amendment.

Amendment 46 withdrawn.

Schedule 4 agreed.

Clauses 35 and 36 agreed.

Clause 37: Commencement

Amendments 47 to 49 not moved.

Clause 37 agreed.

Clause 38 agreed.

House resumed.

Bill reported without amendment.