§ Lord Higgins rose to ask Her Majesty's Government:
§ Whether there is any restriction on Lord Penrose's inquiry into Equitable Life from making a recommendation that compensation should be paid to anyone found to have suffered as a result of failure of regulatory agencies to protect the interests of policyholders.
§ The noble Lord said: My Lords, I beg to ask— rather unexpectedly—the Question standing in my name on the Order Paper.
§ The Parliamentary Under-Secretary of State, Department for Culture, Media and Sport (Lord McIntosh of Haringey)My Lords, I beg to respond rather than to answer unexpectedly. Lord Penrose is independent of the Treasury. It is a matter for him what recommendations he makes.
§ Lord HigginsMy Lords, I thank the Minister for that reply. The Penrose inquiry, which has been investigating since August 2001 the failure of the Treasury and related departments, was set up by the Treasury on terms of reference determined by the Treasury in a form which the Treasury knew might prevent the report being published in full. Meanwhile, the Parliamentary Ombudsman has felt inhibited from making a full report over a whole period because of the Penrose inquiry. Why was the inquiry set up in a form which might prevent the report being published in full? Will the Government accept any recommendations which are made in the Penrose report?
§ Lord McIntosh of HaringeyMy Lords, I shall not respond to the two statements made by the noble Lord, Lord Higgins, before his two questions, although I happen to disagree with both of them. The inquiry was not set up with any preconditions; it was set up on terms acceptable to an independent judge—Lord Penrose. The only basis on which there would not be publication would be, for example, when it would be a criminal offence to disclose confidential information which had 2042 been received by the regulator. That is the only kind of constraint on publication. Otherwise, there will be publication.
§ Lord HigginsAnd the second question, my Lords?
§ Lord McIntosh of HaringeyI am sorry, my Lords. The second—
§ Lord HigginsMy Lords, the second question was whether the Government will accept the recommendations of the report.
§ Lord McIntosh of HaringeyMy Lords, how do we know what the report is going to say?
§ Lord McNallyMy Lords, is the Minister aware that behind these formal statements there are real people, many of them elderly, for whom justice delayed is justice not at all? Is there any sense of urgency in this process?
§ Lord McIntosh of HaringeyMy Lords, I entirely agree with the noble Lord, Lord McNally; it is certainly very important for those who have suffered as a result of the experience of Equitable Life to receive any comfort or redress due to them as quickly as possible. However, I should remind the House that Lord Penrose has been investigating 50 years of the activities of Equitable Life. If a comparison is being made with the Parliamentary Ombudsman, she and her predecessor were investigating only two years.