Speeches by Wood.

“As the Minister says, the clause sets out those decisions that can be taken by an individual authorised by the Minister on their behalf. It specifies that the authorised officer must be a civil servant in her Department. Where there is a review, it must be taken by an authorised officer of a higher grade than the one w…”

“Clause 64 sets out that the independent person has responsibilities to prepare and submit a report on the review. We welcome that element of transparency, but are conscious that we need to balance those publications against the privacy of individuals. It is covered within the legislation, but could the Minister further…”

“I thank the Minister for that explanation. Obviously, it is helpful for us to have what are, essentially, the chapter headings of the code of practice—the areas that it will cover. That clearly provides some degree of transparency, but it is no substitution for the detail of what will actually appear within those chapt…”

“We have tabled amendment 20 to remove the cap on the maximum deduction in cases of fraud. I should say from the outset that we would not expect deduction orders of above 40% to be used in most circumstances. For most circumstances, 40% is an appropriate maximum level for deduction orders to be set. However, we question…”

“As the Minister said, this clause establishes the definition of a bank, among other things, for the purposes of the Bill, ensuring that financial institutions responsible for holding and transferring funds fall within its remit. However, the definition is broad enough to include both traditional high street banks—insti…”

“The clause allows individuals to appeal to the first-tier tribunal if they disagree with the decision to make, vary or refuse to vary a direct deduction order. This right of appeal, however, is available only after the individual has completed the review process under clause 34. The appeal must be made within 28 days o…”

“Clause 34 provides the mechanism for account holders to request a review of a ministerial decision to make, vary or refuse to vary a direct deduction order. However, the scope of the review is limited, as the person cannot challenge the existence of the debt or the amount owed at that stage, unless the order incorrectl…”

“Clause 28 gives account holders the right to request a variation to a deduction order, perhaps in a change of circumstances, and clause 29 empowers the Minister to make such variations. I have some questions for the Minister about the measures. Under what circumstances might she expect the Minister for the Cabinet Offi…”

“Clause 26 places significant responsibilities on banks once a direct deduction order has been issued. The bank must ensure that the account is not closed while a deduction order is active, prevent transactions that would reduce the balance below the required deduction amount—for example, the transfer of funds—and ensur…”

“The clause outlines the procedure when a bank account does not contain sufficient funds to fulfil a direct deduction order. The key provisions are as follows. For lump sum deduction, if the full amount is not available, no deduction is made and the Minister is notified. For regular deductions, if the necessary funds ar…”

“Given the Minister’s reassurances, I will not press amendment 19 to a Division now, but we may wish to come back to the matter on Report. I beg to ask leave to withdraw the amendment. Amendment, by leave, withdrawn. Clauses 22 and 23 ordered to stand part of the Bill. Clause 24 Bank’s administrative costs Question prop…”

“That would leave £120,000, which would mean that in the second month, presumably the most that could be deducted if no further money had been paid into the into the account would be £48,000.”

“I thank the Minister for giving us some clarification on that, but the direct deduction is different from an earning attachment where there is likely to be another similar amount coming in the following month. The Minister suggested I might have £200,000 in my account, which I think would raise a few eyebrows all aroun…”

“Obviously, the Bill allows for sums to be recouped through regular earnings. Where money is in a bank account, we have established that the money is there from the information notices and other measures in the Bill. If the full amount that has been defrauded is available within the account, it seems to make little sens…”

“In the case of non-fraudulent claims, where the Minister is not satisfied that there has been fraud on the part of the liable person, I would be inclined to go with the Government’s figure of 20%. That is reasonable in the case of errors, and it obviously allows for longer-term recovery where a genuine mistake has been…”

“Yes; it is set out quite clearly in amendment 19.”

“Clause 22 outlines how much can be directly deducted from a liable person’s bank account, while clause 23 specifies the information that must be included in direct deduction orders. These provisions are central to the enforcement mechanism and yet there are many questions that remain about their practical implementatio…”

“I beg to move amendment 19, in clause 22, page 14, line 27, leave out from “applies,” to “and” in line 28 and insert “the amounts credited to the account in the relevant period,”.”

“Clause 19 grants the Minister significant powers to obtain financial information from banks before making a direct deduction order, including the ability to request three months of bank statements, or perhaps statements covering a longer period where specified. The power to issue an account information notice requires …”

“Clause 17 establishes that when a payable amount is recoverable, the Minister can issue an order for direct deductions from a liable person’s bank account, either through regular deductions or a lump sum payment, as she said. Clause 18 further clarifies that those deductions can be taken from any account in which the l…”