Under the previous Government, shop theft soared to record highs and it continues to increase at an unacceptable level, with more and more offenders using violence and abuse against shopworkers. We will not stand for this.

The Government will introduce a new offence of assaulting a retail worker to protect the hardworking and dedicated staff that work in stores.

Section 176 of the Anti-social Behaviour, Crime and Policing Act 2024 has created the perception that offenders and would-be offenders can get away with shop theft of goods of and under £200. We will repeal the relevant provision relating to "low value shoplifting", ensuring the police treat shop theft of any value in the same way, whilst sending a clear message that any level of shop theft is illegal. We will continue to work closely with the police to combat retail crime, including through our Retail Crime Forum.

As set out in the Autumn Budget 2024, we will provide £100k of additional funding next financial year for the National Police Chiefs' Council to give further training to police and retailers on prevention tactics. We will also invest £2 million over the next three years in the National Business Crime Centre (NBCC) which provides a resource for both police and businesses to learn, share and support each other to prevent and combat crime. This will build on funding provided this financial year to the Police Crime Prevention Initiatives, for development of training materials for both police and retailers to help combat retail crime and promote partnership working.

Under the previous Government, shop theft soared to record highs and it continues to increase at an unacceptable level, with more and more offenders using violence and abuse against shopworkers. We will not stand for this.

The Government will introduce a new offence of assaulting a retail worker to protect the hardworking and dedicated staff that work in stores.

Section 176 of the Anti-social Behaviour, Crime and Policing Act 2024 has created the perception that offenders and would-be offenders can get away with shop theft of goods of and under £200. We will repeal the relevant provision relating to "low value shoplifting", ensuring the police treat shop theft of any value in the same way, whilst sending a clear message that any level of shop theft is illegal. We will continue to work closely with the police to combat retail crime, including through our Retail Crime Forum.

As set out in the Autumn Budget 2024, we will provide £100k of additional funding next financial year for the National Police Chiefs' Council to give further training to police and retailers on prevention tactics. We will also invest £2 million over the next three years in the National Business Crime Centre (NBCC) which provides a resource for both police and businesses to learn, share and support each other to prevent and combat crime. This will build on funding provided this financial year to the Police Crime Prevention Initiatives, for development of training materials for both police and retailers to help combat retail crime and promote partnership working.

The Government has not made an assessment. Insurers make decisions about the terms on which they will offer cover following an assessment of the relevant risks. This is usually informed by the insurer’s claims experience and other industry-wide statistics. Individual insurers may take a different view of the relevant factors in determining whether to offer insurance and at what price.

However, the Government recognises that shop theft continues to increase at an unacceptable level, with more and more offenders using violence and abuse against shopworkers to do this.

The Government will introduce a new offence of assaulting a retail worker to protect hardworking and dedicated staff, and end the effective immunity that has been granted to shop theft of goods under £200. As set out in the Autumn Budget 2024, the Government also will provide over £7 million over the next three financial years to help police tackle retail crime and support local businesses.

My Lords, I remind the noble Lord that I have just gone through the various forms of independent scrutiny to which this investigation was subject in some detail, and I shall not refer to it again. As I say, the IOPC and others have looked into this in some detail.

My Lords, the numbers will not be cut; they are going up quite significantly—I think they went up 9% in the last year. On the point about diversity, the noble Lord is absolutely right; we talked about this last year in relation to the HMICFRS report on the back of the Daniel Morgan inquiry. Over the last four years, numbers have gone steadily up in terms of BME representation in the Metropolitan Police.

The crisis is about 72 hours old, so I cannot say. I really do not know the answer so I will not pretend, but I am sure that, as the hours and days go on, the Government will have in place a system for helping refugees here and, do not forget, back in their home country. Ukrainians want to go back to Ukraine, and the best thing we can do for the whole global effort is to ensure that the war in Ukraine comes to an abrupt end.

There are examples where Barratt has behaved very honourably and provisioned quite a considerable sum of money. A number of the other major developers have also put provisions forward

and acted, to the tune of some £1 billion. But that is not nearly enough—£1 billion will not deal with a crisis that extends far beyond that. Some estimate that there has been £15 billion or more in costs. We have to recognise that this is a failure and that the polluters are very much broader than the Barratts of this world. We have to make sure that they pay.

Over the last four years, Sport England’s investment in the ECB has focused on equality and diversity, with a commitment to fund, for instance, its south Asian action plan and its south Asian female activators project, to give just two examples of how it is encouraging people from different backgrounds to take their rightful places and reach their full potential in this sport.

The noble Lord is absolutely right: we need to keep an eye on timings and where these communities are. However, we also need to make sure that we do everything we possibly can through education and support to make sure that children do not come into the system in the first place.

My Lords, it is always good to hear of the valuable work that the HET is doing. That is why the Government give nearly £2.2 million a year to enable such visits by students. I am grateful for the invitation. I will take it up remotely because I believe that during the pandemic the HET has been very successful in moving trips online. I thank the noble Lord for his invitation, which I will duly consider.

The noble Lord makes a vital point. I and my ministerial colleagues regularly having meetings with all the various business representative organisations to ensure that the support we are able to give is carefully tailored, targeted and available to as many different businesses as possible.

My Lords, it is important that we provide joined-up government. I am working closely with my colleagues in DCMS, and we work across Whitehall to ensure that that happens.

Ofwat’s role is to promote competition through a well-functioning market where that will further the interests of customers. In furthering this role, since the market has opened the regulator has explored barriers to market entry, for example, credit security arrangements for smaller new entrants. Where appropriate, Ofwat has supported (and on occasions sponsored) market code amendments aimed at promoting new entrants to the market.

Over the past three years, we have seen greater choice for business customers with around twenty retailers operating in England. In addition, a number of larger customers have become licensed to operate as self-suppliers. The self-supply model enables customers to have greater control over their data, and has delivered price and water efficiency savings. In 2019/20, an additional three self-supply licences were granted bringing the total to 12 as at end March 2020.

Ofwat keeps under review the use and impact of Parent Company Guarantees (PCGs) in the water business retail market. For example, it has previously reviewed the use of PCGs in the market and wrote an open letter (in January 2019) to retailers and their associated companies reminding them of their obligations under the market codes and competition law on this.

Use of PCGs, or other forms of intra-group credit, in and of themselves should not be of concern. For example, where a retailer is obtaining credit and paying a market orientated rate for that credit, then this should not distort competition. However, if the credit provision was below the market rate, i.e. not reflecting the economic risk specifically of that retailer (as opposed to the group as a whole), this could potentially distort competition. To increase transparency around use of PCGs, a requirement was introduced (though a change to the market codes) for retailers to provide information to Ofwat including: confirmation any PCG has been provided on an arm’s length basis; and evidence which can be used to determine the commercial consideration (and any other relevant costs) of the PCG.

While there are a range of market codes in place to protect customers, Ofwat does not specifically prohibit retailers from charging customers in advance for the services they provide. Some customers may, for example, have made an active and informed choice to voluntarily enter contractual arrangements with retailers on terms which include some form of advance billing.

However, Ofwat has also taken steps to strengthen the protections for customers on deemed contracts (that is where the customer has not actively negotiated and agreed a contract with their retailer) against non-voluntary changes in their non-price terms, which would include changes in billing arrangements. Following a public consultation, in July 2019 Ofwat published its decision that for customers acquired on retail exit who have not subsequently switched retailer, their terms in the round should leave them no worse off than they were on retail exit.

While the example of advance billing was used as one example of a non-price change that could leave customers worse off, Ofwat’s decision applied more widely to the fair treatment of customers who had not yet engaged in the market. To avoid stifling innovation or preventing retailers from making efficiency enhancing changes that may benefit customers, retailers should be able to alter the non-price terms for customers on deemed contracts so long as they are: transparent about any proposed changes; are able to clearly articulate what the impact on customers will be; and are able to demonstrate to customers why, and how, they will be at least ‘no worse off’ as a result of those changes.

Since market opening, Ofwat has published annual reports on the business retail market, including with a focus on customer outcomes and benefits delivered to customers, including SME customers – see:

• Business retail market - Open for business - Review of the first year of the market 2017-18
• State of the market Reviewing the second year of the business retail water market
• State of the market 2019-20 Review of the third year of the business retail water market

Its most recent report, on the third year of the market (2019-20) noted that just over half (54%) of small/medium SMEs (10-249 employees), and 58% of micro-businesses (0-9 employees) are aware they can choose their retailer. The majority (91%) of all business customers who had switched retailer or renegotiated a new deal with their existing retailer in the 12 months to spring 2020 reported that they had received some form of benefit as a result of switching or re‑negotiating.

Concerning switching rates, around 3.1% of small/medium SMEs (10-249 employees) and 4% of micro-businesses (0-9 employees) switched retailer or renegotiated a new deal with their existing retailer in the 12 months to spring 2020, compared to 6.2% (small/medium SMEs) and 3.6% (micro-businesses) in the 12 months to spring 2019.

In 2017 Ofwat with KPMG undertook a review of the credit arrangements in the business retail market to establish whether the arrangements created an undue barrier to entry. The review found that, in principle, requiring collateral is not a barrier to entry in and of itself.

Ofwat has supported (and on occasions sponsored) market code amendments aimed at improving transparency and flexibility and reducing barriers to new entrant retailers. For example, Ofwat sponsored a code change to Wholesale Retail Code CPW021 (Negotiating Alternative Eligible Credit Support reasonably and in good faith) implemented in July 2017. This change provided greater certainty on wholesalers’ obligations to negotiate ‘alternative eligible credit support’ and increases the scope for retailers to provide the required eligible credit support via a mechanism which suits their particular circumstances.

In some cases, Ofwat has rejected proposed market code amendments on credit where such proposals are not considered – on the basis of the evidence presented - to better facilitate the principles and objectives of the market codes.

In Ofwat’s ‘review of incumbent company support for effective markets’ published in August 2020, it asked wholesalers to explain their approach to offering alternative credit arrangements and alternative payment terms and the extent to which they tailor their offerings to the characteristics of individual retailers. In its report Ofwat highlighted examples of good practice and where performance could be better. It emphasised that where different retailers have different risk profiles, a wholesaler is able to reflect this by offering these retailers’ different or tailored terms, so long as the differences in terms objectively reflect the differences in risk. Ofwat plans to provide further guidance on this in early 2021.

The noble Lord is absolutely right that crime is at the heart of this and that women play a big part in the lucrativeness of that crime. We have our modern slavery Bill, and the Home Secretary will be having further discussions with my noble friend Lord McColl on how we deal with victims of trafficking. This country has been a very safe refuge for people genuinely fleeing traffickers.