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Equitable Life

Exactly. As my hon. Friend suggests, Sir John's approach is already different from that of the ombudsman. Her approach was based on the scrutiny of individual cases, coupled with the requirement to prove that policyholders had relied on regulatory returns. Sir John has taken a flexible approach that already differs from that approach. The hon. and learned Member for Harborough and the hon. Member for Angus said that we were wrong, as a matter of principle, to question the ombudsman's findings. We do not accept this. To treat the ombudsman's findings and recommendations as though they were binding would reflect neither the true nature and extent of her role, nor that of Government in their stewardship of public funds. Rightly, the Government cannot simply dismiss her findings and recommendations, and I assure hon. Members that they did not do so in this case, but they can depart from them in certain circumstances. To be clear, this was not indicative of any lack of respect for the office of the ombudsman; still less did it stem from any disregard for the plight of policyholders affected by the events at Equitable Life. It was simply grounded in the need to ensure that our response, and any actions that we might take, were based on a proper appreciation of the evidence. The hon. Member for Angus asked what the disproportionate impact is. The concept of disproportionate impact is intended to help to ensure that payments made under the scheme are targeted at where they are needed most. Sir John will advise us on factors arising from his work. In his third interim report, he expressed his provisional view that holders of with-profits annuities and late joiners have been disproportionately impacted, in that the impact of maladministration was severe beyond the norm. However, the Government have not stated that only those two groups will receive payments. Final decisions on who will be paid will be made after Sir John submits his final report. The hon. Member for Cheltenham asked about the comparator with the regulator in the 1990s and the possibility of that leading to delay. That was also raised in an intervention by the hon. Member for Richmond Park (Susan Kramer), who is not in her place. Sir John's third interim report set out his provisional views on regulatory behaviour in the 1990s. He is considering various scenarios as regards regulation, whether stringent or loose, but he has not said which he prefers. He is open to all views on this—it is not fixed in stone—and input from everyone, now, will minimise dispute later. Sir John has not yet finalised the comparator. The accusation levelled at the Government is that that we have consistently—some have even said wilfully—dragged our feet on this matter: even now, when Sir John is close to completing his work. That is simply wide of the mark and absolutely not the case. In conclusion, we appreciate and share the genuine concerns that Members in all parts of the House continue to have on behalf of policyholders. We have before us a motion that exhorts us to set a clear timetable for implementing the ombudsman's recommendations. However—