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Regulatory Enforcement and Sanctions Bill [HL]

That makes it tempting in itself, but I will resist. We believe that fixed monetary penalties would be unworkable if the approach proposed in the amendment were to be adopted. As we have just discussed, we do not think that it is appropriate to add a ““notice of intent”” stage to the process for imposing fixed monetary penalties, and I will not go over that again. On the specific proposal that representations should be heard by an independent judicial person prior to a notice being imposed, we think that this is unnecessary and undesirable. Although this is in a sense a probing amendment, it is not clear from the amendment who this independent judicial person would be or what powers they would have, but presumably they would be akin to a tribunal. If the amendment were accepted, further provision would need to be made for this judicial body in the Bill, thereby increasing the complexity and bureaucracy of the process of imposing what we want to be a quick and simple sanction; of course, with safeguards. The amendment would also, in effect, give a business that had clearly breached the regulations two rights of appeal against a sanction, both before and after its imposition, possibly to two different bodies. That would be disproportionate and would raise costs, particularly for businesses. The internal review stage—the first appeal—proposed by the Bill would, by contrast, be a less costly and much more accessible way for a business to make representations and raise defences. We understand the Committee’s concerns about the process for regulators determining a business’s liability to fixed monetary penalties. That is why the safeguards are there, particularly the right of appeal which, although it is at a later stage of proceedings, surely goes quite long way to satisfy the noble Lord. Review by such a tribunal will mean that regulators ought to ensure that their decisions will meet the requisite legal requirements and standards of procedural fairness. If there was to be this right of appeal, we are pretty sure that regulators would simply choose not to take up the new sanctions and would rely on criminal prosecution instead. While that might please the noble and learned Lord, Lord Lyell, it would not please the many organisations that supported what Professor Macrory has suggested. Amendment No. 120 would allow a business to make oral as well as written representations and objections against a sanction being imposed. This point is covered by Amendment No. 128 which, the brief says, we will come to shortly.