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Digital Economy Bill [HL]

My Lords, we made it clear. We think that the bulk of the cost of the process should fall to copyright owners. They are the main beneficiaries from a change in consumer behaviour from unlawful to legal sources of content. However, we feel that ISPs should share some of the burden, to ensure that they carry out their obligations in an efficient and economic manner and have an incentive both to reduce infringement and to participate in business models—points made during our debate. New Section 124L(2) does not specify the costs that ISPs may be required to share under the cost-sharing order. That is a matter to be consulted on prior to the order being made. In principle, therefore, the order could make the provision in the amendment. However, we do not intend such provision to be made, so we do not think that it would be right to suggest that it might be by particularising it in subsection (3), as the amendment does. It does not seem right to require ISPs to subsidise copyright owners acting to defend their copyright. In fact, that would impose a double cost on ISPs: they would subsidise copyright owners in detecting infringements but have no control over the level of detection activity and cost. We tried to be helpful about this in the code. We gave a split of the costs which was indicative—it was not set in stone by any means. People asked us to give them an idea, so we suggested an indicative split. It will be the subject of consultation, and surely that is the right way forward. I cannot see how it can be reasonable, proportionate or fair for copyright owners to have their cake and eat it, in the manner suggested. As I said at the outset, they are the main beneficiaries. It is right and proportionate that they should bear most of the costs. I end by saying that the ratio that we suggested was indicative will be subject to consultation. In the light of my comments, I hope that the noble Baroness will feel able to withdraw the amendment.