HL Deb 19 June 2003 vol 649 cc960-2

3.17 p.m.

Lord Henley asked Her Majesty's Government:

Whether they have any plans to change the current system of hallmarking of precious metals.

The Parliamentary Under-Secretary of State, Department of Trade and Industry (Lord Sainsbury of Turville)

My Lords, the Government have no plans to change the current system of hallmarking precious metals. The Consumer Minister, Melanie Johnson, announced on 12th June that the Government do not support plans to revive the draft EU directive on the marking of precious metals which, if implemented, would alter the system of hallmarking in the UK.

Lord Henley

My Lords, I thank the Minister for that partially helpful Answer. Would he agree that the current hallmarking system is one of the most effective and efficient systems of consumer protection available in this country? I should add that it is not modern, which the Government will no doubt hold against it.

Will the Minister go further when referring to proposed directives from the European Union and give an assurance that Her Majesty's Government will do all they can to prevent any such directive coming into effect? I hope that the Government will ensure that we preserve our current system of hallmarking.

Lord Sainsbury of Turville

My Lords, we believe that the current system is very effective and efficient, and we will oppose the directive. I am sure that the House will be relieved to hear that this is a 700 year-old institution that we believe has worked very well for 700 years and will continue to support.

Lord Corbett of Castle Vale

My Lords, is the Minister aware that his reply to the noble Lord's question will be greeted with joy and relief in the city of Birmingham where, around 1780, that inventive industrial genius Matthew Bolton and others got together to found the Birmingham Assay Office and to give it its anchor assay mark, taking the name from the pub wherein they met? I urge the Minister to be absolutely resolute with those in Brussels who want to interfere with a system that is a guarantee of high-quality manufactured goods in Birmingham and elsewhere.

Lord Sainsbury of Turville

My Lords, I am very glad if any of my announcements are greeted with joy and relief and I do not care on what basis that occurs.

Lord Razzall

My Lords, does the Minister recognise that he has the unanimous support of all sides in your Lordships' House and of all parties in another place on this issue? Is he prepared to go further than his Answer to the noble Lord, Lord Henley, and confirm that there is no chance whatever of the directive taking effect in a form that we would not wish to see?

Lord Sainsbury of Turville

My Lords, the chances of success for the directive do not look promising but we should be realistic in recognising that the position in Europe has changed since 1996. Fewer countries now operate mandatory third party marking regimes. We shall, however, oppose the directive being introduced.

Baroness Miller of Hendon

My Lords, the Minister said initially that the Government had no plans regarding the directive. Subsequently he said that the Government would not support it and then that they would vigorously oppose it. In view of the question that has just been asked and given that this is a matter of majority voting and that our hallmark indicates that our products are better than those produced anywhere else—and we want to keep it that way—will the Government not only vigorously oppose the directive but also make it their business to try to get all the other countries in Europe to vote our way to prevent our being defeated on this very serious matter?

Lord Sainsbury of Turville

My Lords, we were part of the blocking minority when the directive was last discussed in 1996. We intend to try to do the same on the next occasion it is discussed. I simply pointed out to the House that the position had changed since 1996 and that it might be more difficult to try to block the measure. But as a whole our view is still that the directive's chances of success are very small.

Baroness Gardner of Parkes

My Lords, I declare an interest as my husband is a liveryman of the Goldsmiths' Company. Is the Minister aware that tens of thousands of substandard articles have to be destroyed every year by assay offices here and that UK hallmarking offers great protection to members of the public, many of whom are totally unaware of the fact?

Lord Sainsbury of Turville

My Lords, as I said, the present system works well and instils great confidence in consumers. Our objection to the proposed directive is that we do not consider that it would instil that confidence in consumers which is so important in this market.

Lord Marlesford

My Lords, surely this is a perfect example of where subsidiarity should prevent such attempts by Brussels?

Lord Sainsbury of Turville

My Lords, that may be the noble Lord's view but it is not the constitutional view on the matter.