“(1) An insurance policy in respect of an automated vehicle may exclude or limit the insurer’s liability under section 2(1) for damage suffered by an insured person arising from an accident occurring as a direct result of unauthorised inspection, repair or maintenance of the automated vehicle, made by the insured person, or with the insured person’s knowledge, that are prohibited under the policy.

(2) But as regards liability for damage suffered by an insured person who is not the holder of the policy, subsection (1) applies only in relation to unauthorised inspection, repair or maintenance of the automated vehicle which, at the time of the accident, the person knows are prohibited under the policy.

(3) Subsection (4) applies where an amount is paid by an insurer under section 2(1) in respect of damage suffered, as a result of an accident, by someone who is not insured under the policy in question.

(4) If the accident occurred as a direct result of unauthorised inspection, repair or maintenance of the automated vehicle, made by the insured person, or with the insured person’s knowledge, that are prohibited under the policy, the amount paid by the insurer is recoverable from that person to the extent provided for by the policy.

(5) But as regards recovery from an insured person who is not the holder of the policy, subsection (4) applies only in relation to unauthorised inspection, repair or maintenance of the automated vehicle which, at the time of the accident, the person knew were prohibited under the policy.

(6) For the purposes of this section the Secretary of State must by regulations establish a scheme for authorised inspection, repair and maintenance of automated vehicles by licensed and accredited technicians.

(7) The scheme must include details of—

(a) which professional body will operate the licensing and accreditation of technicians,

(b) how the licensing and accreditation scheme will operate,

(c) a minimum level of training for technicians working on listed automated vehicles, and

(d) how a list of accredited individuals will be prepared and kept up-to-date.

(8) Prior to making regulations under this section, the Secretary of State must consult with such persons as the Secretary of State considers appropriate.

(9) Where a statutory instrument contains the first regulations made under this section, the instrument may not be made unless a draft of it has been laid before Parliament and approved by a resolution of each House.

(10) A statutory instrument containing regulations under this section, that is not the first such instrument made under this section, is subject to annulment in pursuance of a resolution of either House of Parliament.”—

This new clause would ensure that insurers should not have to bear liability to the insured person for accidents caused by the vehicle being inspected, repaired or maintained by unauthorised technicians in breach of the insurance policy. This would apply subject to various conditions regarding the level of knowledge of the insured person or policyholder about the insurance policy requirements. This clause would give the Secretary of State power to make regulations on a scheme for authorised inspection, repair and maintenance of automated vehicles by licensed and accredited technicians.

Brought up, and read the First time.

I beg to move, That the clause be read a Second time.

The new clause, which stands in my name and that of my hon. Friend the Member for Lewisham, Deptford, would protect the insurer against accidents caused by vehicles having been repaired by unauthorised technicians. It would also require the Government to establish a scheme for authorised inspection. The automotive industry already relies on hundreds of thousands of individuals in roles to support, work on and maintain vehicles. As the technology develops, so too must the skills of those working on them.

We are aware of existing skills gaps in the industry. The Minister and I have had discussions about this very issue. I think the Government have got a really good intention to skill up people in this area, but as the technology develops, skills gaps seem to be worsening. The Bill does not address the worsening skill gap. If we do not start planning now, we will be left with a huge hole in the support structures for the new vehicles. That is why the Opposition believe, as do a number of stakeholders, that the Government should introduce an accreditation scheme for technicians to work on future vehicles. I think the Minister previously said publicly that he may do just that.

If the Government are not proactive, the UK will not be able to support growth in the new technologies. Will the Minister therefore consider introducing an accreditation scheme for technicians, not only to address the skills shortage but to provide a wider set of protections for insurers against unauthorised repairers and unauthorised maintenance of these vehicles, as set out in the new clause?

It is a paradox that, as we become more ambitious in respect of future transport, we simultaneously create a greater and greater problem in respect of the skills necessary to deliver those ambitions. With the road investment strategy, which I began, and with our rail investment strategy, High Speed 2, Crossrail and all the other developments, the need for transport skills is growing at a pace that is hard to satisfy. We have analysed that thoroughly. Indeed, I think we can fairly say that the Department for Transport is a leader in terms of mapping those future needs and identifying the space between where we are now and where we need to be. Encouraging more and more people to gain those skills will be critical and could be the “make or break” of the technology. Investing in infrastructure means investing in people as well as in things.

If that is a paradox, it is a pseudodox that the only means of gaining fulfilment comes through academic accomplishment. Curious, is it not, that we should have convinced ourselves of that for so long. Frankly, I was never convinced, but many were. Of course, it is through the application of technical and vocational skills that many people find not only their ultimate fulfilment but the means by which our economy works. Encouraging more people to take the practical journey towards the achievement of such competencies is vital. That is why I am so passionate about apprenticeships and why, when I was apprenticeships Minister, I championed those practical skills.

It is perhaps through practical accomplishment—the combination of the work of one’s hands and one’s mind—that people are most likely to achieve the sublime. Most academic learning, at least up until master’s degree level, is derivative. Technical learning is creative at a much earlier stage. Perhaps a journey to the sublime is made more likely through what we do practically, technically and vocationally.

I agree with the hon. Member for Kingston upon Hull East. Furthermore, I agree that we need to codify and accredit such skills. The argument becomes, therefore, not about intent, but about method. It is probable that we are at too early a stage to be certain about what that kind of accreditation might look like. Nevertheless, I am happy to agree to have further discussions with the Institute of the Motor Industry and others to help the Government to understand the challenge of ensuring that vehicle maintenance and repair is carried out in a professional and safe manner for technicians and drivers.

May I add a relevant further point, Sir Edward, that does not directly relate to the proposed new clause? I hope your earlier generosity will not have ended.

Well, lunch is approaching, so it is getting a bit frayed.

Your generosity declines the closer we get to food; I can understand that, Sir Edward.

There is a risk that smaller providers of services—the small garages and small businesses—will be disadvantaged if those skills are found only in the proprietary repair centres of major manufacturers. I am keen that that should not be the case, not only because it will make those small businesses less viable, but because it will mean that people will travel further to get their car serviced and repaired—the major centres will not be so evenly distributed—and that those acquiring the skills will have to travel much further to do so.

I hope we might be able to emulate the industries that the hon. Member for Reading East mentioned earlier and represents. In the IT sector, while there are a relatively small number of very large manufacturers, they work through a whole series of other smaller businesses that are accredited to work with them or for them. Perhaps that is the model we should look at to avoid the unfortunate eventuality that I have taken the liberty, with your indulgence, Sir Edward, of drawing to the Committee’s attention.

The hon. Member for Kingston upon Hull East and most of the House are well aware of my absolute commitment to and passion for skills. On that basis, I hope he will withdraw the amendment.

I will happily do so. It is fair to say that the Minister has gone beyond what I had anticipated, so I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

New Clause 20