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House of Lords (Members’ Taxation Status) Bill [HL]

Perhaps I might make an observation or two. For a few years, I used to decorate the passages of the Home Office. I always shuddered when domiciliary and residential matters were discussed because I found them deeply confusing and I have found them so ever since. I am not sure that I am more suitably enlightened this evening. The noble Lord, Lord Desai, said something quite important. He was a little mocking of the Liberal Democrats, although they are used to that. He said that they do not have the capacity to tax people and that he hoped that they never would. Surely this Bill is about taxing people; it would ensure that certain people are taxed. I always thought that your Lordships’ House was not allowed to discuss matters relevant to taxation because of what happened 100 or so years ago. Therefore, I am surprised that this Bill, which is basically a taxation Bill, should have come to your Lordships’ House. I am also surprised that the Liberal Democrats—as has been pointed out, their serried ranks are full—have three Bills on the reform of the House all at once. That seems slightly obtuse and unnecessary. I am concerned about the remarks made by the noble Lord, Lord Oakeshott, in his Second Reading speech, to which I listened with interest. My noble friend Lord Selsdon referred to asperity of speech—that you do not say anything unpleasant to another person, particularly without letting him know in advance. I do not know whether the noble Lord let the noble Lord, Lord Laidlaw, know what he was going to say, but the noble Lord, Lord Oakeshott, said: "““What a tragic scene that must have been. You come straight out of a meeting, get into the Rolls-Royce, say ‘PricewaterhouseCoopers, James’ to the chauffeur and then suddenly have a terrible memory loss. Why on earth are you going to see your tax adviser? Obviously, you are feeling pretty ill so you go straight to the airport, get on the private jet and go back to Monte Carlo. Thank goodness the noble Lord’s memory returned a year later and he was able to remember to sell his business for £768 million. The effect of that was to cost the British taxpayer at least £50 million in capital gains tax that he would have had to pay if he had honoured his undertaking””.—[Official Report, 14/3/08; col. 1709.]" All that may have been true, but it is pretty offensive stuff to say about a person who was not here. I wonder whether the noble Lord, Lord Oakeshott, had the courtesy of letting him know. It puts a nasty smell over the noble Lord’s Bill.