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Standing Committee Debates
NHS Redress Bill [Lords]

NHS Redress Bill [Lords]



The Committee consisted of the following Members:

Chairmen: Miss Anne Begg, Ann Winterton
Baron, Mr. John (Billericay) (Con)
Burnham, Andy (Minister of State, Department of Health)
Fisher, Mark (Stoke-on-Trent, Central) (Lab)
Gidley, Sandra (Romsey) (LD)
Hurd, Mr. Nick (Ruislip-Northwood) (Con)
Irranca-Davies, Huw (Ogmore) (Lab)
Johnson, Ms Diana R. (Kingston upon Hull, North) (Lab)
Mallaber, Judy (Amber Valley) (Lab)
Moffatt, Laura (Crawley) (Lab)
Morgan, Julie (Cardiff, North) (Lab)
O'Brien, Mr. Stephen (Eddisbury) (Con)
Pugh, Dr. John (Southport) (LD)
Salter, Martin (Reading, West) (Lab)
Simon, Mr. Siôn (Birmingham, Erdington) (Lab)
Snelgrove, Anne (South Swindon) (Lab)
Stuart, Mr. Graham (Beverley and Holderness) (Con)
Walker, Mr. Charles (Broxbourne) (Con)
John Benger, Alan Sandall, Committee Clerks
† attended the Committee

Standing Committee B

Thursday 15 June 2006

[Miss Anne Begg in the Chair]

NHS Redress Bill [Lords]

9 am
Clause 7 ordered to stand part of the Bill.

Clause 8

Legal advice etc.
Mr. John Baron (Billericay) (Con): I beg to move amendment No. 9, in clause 8, page 5, line 1, leave out paragraph (a).
I put it to the Committee that subsection (1)(a) is unnecessary. We agree that legal advice is necessary at the end of the process when advising on the offer and any subsequent settlement or agreement, but subsection (2) already provides for that. Accordingly, subsection (1)(a) is otiose. Indeed, under the clause the Secretary of State could allow lawyers to be involved in the process from the start.
Lawyers should not be needed, because assessing liability and compensation under the redress scheme is an internal matter for the NHSLA. It is separate from the independent investigation that we envisage. It is an executive process, not a judicial one. Legal rights are not being asserted or defended. Liability is internally assessed, not independently determined. Accordingly, the question of legal representation should not arise.
As the shadow Secretary of State pointed out on Second Reading, legal aid provides the oxygen for clinical negligence litigation. It rewards lawyers for bringing speculative claims, and for complicating them and dragging them out. It is hardly surprising that that is reflected in publicly funded clinical negligence litigation, when overcomplicated and protracted cases have such a dismal success rate. The legal costs too often exceed or are disproportionate to the compensation at stake.
The fundamental weakness in making amends, as the Committee has heard, is that people blame the law when the true culprits are the lawyers—or their abuse of the legal aid system. That raises serious questions about the contribution of lawyers, and the value that they add to the compensation process. Indeed, the Secretary of State said on Second Reading:
“It lies absolutely at the heart of the redress scheme that we will be able to give quicker responses and better compensation to patients, rather than paying greater fees to lawyers. I am quite certain that lawyers will argue, as some outside the House have already, that much more legal advice should be made available all the way through the process. If we do that, however, we might as well stick with the existing situation in which people seek legal advice and go to court. Given that the redress scheme does not rule out the possibility of court action but will in many cases, I hope, replace it, it is right that the independent legal advice should come at the end of the process”.—[Official Report, 5 June 2006; Vol. 447, c. 33.]
In that, the right hon. Lady was right.
The idea of the redress scheme is to avoid replicating the problems of the litigation system. People’s legal rights will be intact under the scheme, as the scheme does not determine rights. At the end of the process an offer may be made, in which case we agree that legal advice should be available on the offer or settlement. If the offer is accepted, the legal rights are waived as part of the settlement. However, we agree that legal advice is not necessary during redress proceedings until an offer has been made. Accordingly, under the amendment, subsection (2) would stand, but subsection (1)(a) would be deleted in its entirety.
We have heard much during our debates about the value of so-called specialist lawyers. Perhaps we should step back for a moment and consider some objective measure of their performance. I refer to a letter sent by the Legal Services Commission on 7 November 2002 to a member of the public. It stated that, since August 1999, only specialist lawyers have been able to start new cases on legal aid. In 2000-01, the overall success rate in clinical negligence cases was 23 per cent. for specialist lawyers and 24 per cent. for non-specialist lawyers. The success rate of cases after investigation—after the initial filter—was 56 per cent. for specialist lawyers and 59 per cent. for non-specialist lawyers. According to a written answer dated 17 January, the overall success rate, in the last year for which figures are available, was about 23 per cent in legally aided clinical negligence cases and 56 per cent. in cases that proceeded beyond investigation.
Those figures are revealing for two reasons. First, they demonstrate that the performance of specialist lawyers about five years ago was roughly comparable with that of non-specialist lawyers. Secondly, they show that even though legal aid has been available only to specialist lawyers since 1999, their performance in excluding opportunistic and unsustainable claims has not improved at all. The Secretary of State and the shadow Health Secretary are therefore right to be wary of involving lawyers throughout the process, because they do not appear to add much value, and their involvement would make the scheme more costly.
However, there is another reason why we should be wary of involving lawyers, other than to advise on the offer at the end of the scheme. Hon. Members on both sides of the Committee want open, transparent and non-adversarial proceedings and a fact-finding process that aims to find out what went wrong and to learn the lessons from it. As we have discussed, and I know that the Minister will agree, the priority for patients is often to get an explanation and an apology, where one is due; they want to ensure that what has happened to them does not happen to other patients. If we include lawyers at the earlier stages of the redress scheme, they will assert the rights of the trust or the patient, and the process will be less open. There will be less chance of transparent proceedings from which lessons can truly be learned.
Mr. Stephen O'Brien (Eddisbury) (Con): As my hon. Friend has developed his arguments, he has reminded me of a further point, so perhaps he will forgive me for reinforcing his arguments. As those of us who have been trained in the law know, one of the essential points in training professional lawyers is that one must first establish the facts, secondly establish the law and only thirdly give advice. If the scheme is a genuine attempt to have fact finding as a priority at the front end, those involved will not need to know the law or the legal advice until the facts have been established, and that is wholly consistent with the way in which a professional should approach these issues. I hope that that gives my hon. Friend’s arguments some reinforcement.
Mr. Baron: My hon. Friend is obviously right. My worry about getting lawyers involved at an early stage—at the fact-finding or, indeed, the fault-finding stage—is that that would not encourage the open, transparent proceedings that we probably all want. We want to encourage a culture change in the NHS, but involving lawyers, who will assert rights for both sides, will not make for openness. With that in mind, I would encourage the Committee to support the amendment, and I shall press it when the time comes.
Dr. John Pugh (Southport) (LD): I shall be brief, not simply because of events later today, but because much of the current dispute comes down to differences of philosophy and about the type of beast that we expect the Bill to be. The issues of detail that have been picked up simply reflect that fundamental difference. The Government have said, fairly expressly, that they want the Bill to remain in its current form and to be the kind of creature that it is now. I was a little surprised, therefore, when I saw amendment No. 9, which would remove a paragraph that appeared to enhance the scheme as the Government understand it. The measure would allow
“for the provision in connection with proceedings...of legal advice without charge”,
which most people would assume to be a good thing ordinarily. The official Opposition’s position is that, through the amendments in the Lords, they are making an enhanced offer. They are trying to offer us a superior Bill, which will have merits that the current Bill does not. If the Government do not accept that substantial improvement, we have to consider whether the best, in this case, is actually the enemy of the good. Would we prefer the Bill to proceed, amended in the way that the Government wish, with this paragraph taken out? If we voted on this and the paragraph were removed and the Government got their way in every other respect, would it be a good thing? I do not think that it would.
My concern is not about the free legal advice, but about what the advice covers. There are certain issues, which we shall touch on when we come to amendment No. 22, such as the instruction of medical experts, where legal advice is a moot issue and the Government may not think that a scheme should provide that. The question of a person’s qualification for legal aid if they decide to disown the redress system or to participate in it also worries me a little. I understand that no matter how one puts oneself on the redress system, one’s legal rights in court remain exactly the same. But will the entitlement to legal aid remain the same? I cannot support the Conservatives’ proposal, although I sympathise with its spirit, simply because I suspect that at the end of the day the Government will get their way and the Bill will be worse if this paragraph is taken out.
The Minister of State, Department of Health (Andy Burnham): Amendment No. 9 removes the explicit power in the Bill that allows the Secretary of State to make such provision in the redress scheme as she sees fit
“for the provision in connection with the proceedings under the scheme of legal advice without charge”.
That provision allows legal advice to be made available to patients at any point under the scheme in addition to the legal advice that will be available to all patients on the offer and settlement agreement that is secured under subsection (2).
The published statement of policy on the NHS redress scheme makes clear our intention that legal advice on any offer under the scheme and the terms of any settlement agreement is to be given without charge. Furthermore, we have previously made it clear that we intend to work closely with stakeholders when drafting the secondary legislation to determine the circumstances in which it may be appropriate to offer legal advice free of charge at other stages under the scheme.
The purpose of the clause is to ensure that patients’ rights are protected. We want to ensure that patients are able to make a genuine, informed choice when presented with options. This provision seeks to do just that. Redress is about putting things right for the patient where mistakes have been made. This has to be focused on their needs. It means effectively that the scheme must not only provide fair and effective redress but be seen to do so. On a practical level, patients will continue to litigate unless they have confidence that the scheme offers an effective and fair alternative. The clause seeks to provide that guarantee.
We do not believe it appropriate in every case for legal advice to be offered without charge throughout proceedings. To do so would not meet our aim of reducing unnecessary legal costs. There will, however, be cases or types of cases in which free legal advice will be warranted at an earlier stage than when the offer is made. We will work closely with relevant organisations when drafting the secondary legislation to determine the circumstances in which it may be appropriate to offer legal advice free of charge at other stages of the scheme.
One option that will be discussed during the consultation would be for legal advice to be provided earlier in more complex cases to enable the joint instruction of an independent medical expert where appropriate. Access to legal advice is essential for two reasons: first, to obtain an independent legal opinion on the level of financial compensation offered and secondly, because it is intended that where an offer under the redress scheme is accepted, the recipient will waive their right to bring civil proceedings in respect of the same matter. However, there may be others and clause 9(1)(a) allows for that.
We believe that if the redress scheme is to offer patients a credible alternative to litigation it has to have their full trust. We therefore believe that it is appropriate for the Secretary of State to be under an obligation to provide for free legal advice in respect of offers and settlement agreements in all cases, for the scheme to provide flexibility and for the provision of legal advice earlier in the process where appropriate. Indeed, my hon. Friend the Member for Birmingham, Erdington (Mr. Simon) pressed me on that point only the other day. As the hon. Member for Southport(Dr. Pugh) says, most patients would consider the provision to be a good thing. The Government are committed to protecting patients’ rights and to ensuring that they are supported effectively through the process of obtaining redress. This provision plays a key role in ensuring that that objective is met.
9.15 am
 
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