Part of Financial Services and Markets Bill – in a Public Bill Committee at 2:30 pm on 3 November 2022.
Stephen Hammond
Conservative, Wimbledon
2:30,
3 November 2022
The hon. Member for West Dunbartonshire set out an interesting proposition and an interesting rationale for the new Clause. He is absolutely right that, although the FCA has enjoyed Crown immunity for the last 20 years, there have been any number of times when its failure to act—or to act in a proportionate and material, or sufficiently material, way—has impacted others. The Government do not enjoy that immunity; they are subject to claims for civil damages if actions or failures to act have material consequences. Therefore it seems only appropriate that we should test the hon. Gentleman’s proposition.
I assume that the regulator has enjoyed Crown immunity to ensure that frivolous or vexatious actions are not undertaken against it. I understand why the hon. Member sees this more as a probing new clause; as the new clause stands, it is difficult to be absolutely clear what “material financial loss” is, how we might define “negligent” and how we determine whether the regulator could have taken other action. There are any number of things that one might want to resolve.
A parliamentary bill is divided into sections called clauses.
Printed in the margin next to each clause is a brief explanatory `side-note' giving details of what the effect of the clause will be.
During the committee stage of a bill, MPs examine these clauses in detail and may introduce new clauses of their own or table amendments to the existing clauses.
When a bill becomes an Act of Parliament, clauses become known as sections.
A parliamentary bill is divided into sections called clauses.
Printed in the margin next to each clause is a brief explanatory `side-note' giving details of what the effect of the clause will be.
During the committee stage of a bill, MPs examine these clauses in detail and may introduce new clauses of their own or table amendments to the existing clauses.
When a bill becomes an Act of Parliament, clauses become known as sections.
