Lords Back Compensation Overhaul amid Energy and Asylum Scrutiny

High-Level Summary

The House of Lords held Oral Questions on midwifery workforce entry, electricity pricing, procedural matters of the House, and the humanitarian crisis in Sudan. A minister confirmed over 850 graduate‑guarantee midwife roles funded by £8 million and framed current pressures as a misalignment of numbers, while peers raised unsafe workloads. Energy exchanges focused on reducing gas’s price‑setting role, windfall tax effects, and new strategic planning. A Commons Statement on infected blood compensation recorded more than £2 billion paid, significant scheme changes, and further legislation this year. The House approved multiple statutory instruments (travel consumer protections, ministerial salaries, drug precursors, asylum support rules), debated and then withdrew a regret motion over local election postponements (elections to proceed in May 2026), and noted Commons messages on two Bills.

Detailed Summary

Midwives: Graduate Guarantee – Oral Question

Baroness Merron said the graduate guarantee creates temporary registered midwife roles to aid transition to NHS employment: “Since September, over 850 of these roles have been created, backed by £8 million.” Baroness Walmsley cited employment concerns: “already, 31% of newly qualified midwives do not have a job or are on fixed-term contracts.”

Baroness Merron referred to a forthcoming workforce plan and said the scheme recruits for future need: “we are future-proofing this.” On retention, she said, “Retention rates for existing midwives are improving,” noting mentoring and flexible retirement support. Asked about shortages and overseas recruitment, she said, “The issue is more a misalignment of numbers than a straightforward shortage,” and noted, “There was a 2.6% increase in January 2026 compared to the year before.”

Electricity: Domestic Pricing – Oral Question

Lord Whitehead said gas’s role in marginal pricing now frequently sets wholesale electricity prices despite only c.30% generation share: “at the moment it sets the price over 60% of the time” and the Government plan to move RO‑backed renewables toward CfDs to reduce this effect. On windfall taxes, he said it is “a very sensible thing to do, to make sure that excess profits are not taken from consumers”. He also announced a strategic spatial energy plan and a reformed national pricing delivery plan, “both of which came out this morning.”

On standards for new homes, he could not bring forward the Future Homes Standard from 2028 but said it was “a very sound idea”. On standing charges, their structure is “a matter of considerable debate” and under review.

House of Lords: Legislative Procedures – Oral Question

Leader of the House Baroness Smith of Basildon said she had “no plans to set up a modernisation committee,” favouring change through the usual channels and the Procedure and Privileges Committee. She acknowledged recent procedural strains and ongoing cross‑House discussions.

Peers debated effectiveness versus efficiency and late sittings. The Leader stressed that a self‑regulating House requires “self-restraint” and that scrutiny should be “proportionate and will be listened to”. She pointed to a forthcoming committee report proposing extra Grand Committee time, including possible Tuesday mornings, to use time “as effectively as we possibly can”. She added, “I do not seek to curtail freedoms” of Members. On wider reform, she said stage one on hereditary peers is proceeding, while further stages are “a matter for the Labour Party to progress”.

Sudan – Oral Question

Baroness Chapman of Darlington reported the Foreign Secretary announced “£146 million of new humanitarian funding for Sudan this year, which will reach nearly 2 million people,” alongside calls for a ceasefire and better access. She said the UK is “doubling the amount that we spend with local responders” and urged parties obstructing aid to stop.

On displacement and small boat crossings, she noted most Sudanese displaced people are in neighbouring countries and support is focused there. She condemned sexual violence as “abhorrent” and “on the largest scale that we have seen this century”, and said the UK is ready to lead a civilian track “working closely with Sudanese voices”. On arms, she said, “There is an embargo in Darfur that should be extended and should be properly enforced.”

Arrangement of Business – Announcement

The Chief Whip outlined the next day’s plan: “the House will consider the message from the House of Commons on the Crime and Policing Bill,” then a QSD, and later a message on the Pension Schemes Bill, with a one‑hour tabling window and possible short adjournment for ping‑pong preparation.

Health and Social Care Act 2008 (Regulated Activities) (Amendment) Regulations 2026 – Motion to Approve

The House approved the draft Health and Social Care Act 2008 (Regulated Activities) (Amendment) Regulations 2026 without debate: “Motion agreed.”

Infected Blood Compensation Scheme – Statement (followed by Q&A)

A Commons Statement recorded that “as of 7 April, 3,273 people have received an offer and over £2 billion has now been paid out,” including first payments to all eligible groups. Key changes include: a supplementary Special Category Mechanism (SCM) award “backdated to 2017”; expanded recognition of psychological harm; a new interferon treatment severity band (2B); removal of the 25% deduction for past care and a ‘whichever is higher’ approach to past financial loss; a £60,000 lump sum for defined ‘exceptional loss’ cases; higher core awards for defined bereaved groups; increased unethical research awards, including raising the Treloar’s figure to £60,000; and “a 50% increase to the core autonomy award for people who were infected at age 18 or under.”

In the Lords, Baroness Anderson said further legislation will be brought forward “in this calendar year”. IBCA is prioritising “the elderly and those who are nearing end of life”. She added that those with severe psychological harm may apply under the new SCM award where core route support is insufficient, and that the National Police Chiefs’ Council has engaged senior investigators to review unethical research evidence. She undertook to write on technical points raised (including carers and historic suicides) and to continue engagement with the community.

Package Travel and Linked Travel Arrangements (Amendment) Regulations 2026 – Motion to Approve

Baroness Lloyd of Effra said reforms will “abolish the current category of linked travel arrangements” and ensure that where bookings “look and feel like a package … [they] will receive package protections,” while easing obligations for mere facilitation of a second booking within 24 hours. Organisers will be entitled to funds from third‑party suppliers “within 14 days,” aligning their refund rights with consumers, and their redress rights will be clarified. The measures aim to boost clarity and confidence, commencing in April 2027.

Responding to concerns on definitions (“single visit”, “facilitates”), she committed to engage with business and “provide guidance in the summer, before the commencement”, noting the powers used “do not increase the overall regulatory burden” and confirming a strengthened “right to redress”.

Ministerial and other Salaries Act 1975 (Amendment) Order 2026 – Motion to Approve

Baroness Anderson explained a long‑running misapplication of the 1997 formula linking ministerial pay to senior civil service bands, where Permanent Secretary pay had often been excluded. The order resets salary baselines and amends the formula to exclude that band going forward, aligning law with “long-standing policy”. She stressed, “for Ministers, this order will result in no change to actual take-home pay,” though some officeholders will receive back payments from 1 April 2023 (c.£15,000 in total to government‑paid roles). Limited retrospection was defended as consistent with normal backdating practice.

In exchanges, she confirmed “pensions have been based on claimed salary, not entitled salary, since 2015”, and said wider mentoring/support and standards work for Ministers is under active consideration.

Criminal Justice (International Co‑operation) Act 1990 (Amendment) Order 2026 and Controlled Drugs (Drug Precursors) (Amendment and Revocation) Regulations 2026 – Motions to Approve

Lord Hanson said both instruments tighten control of drug precursor chemicals (DPCs) to tackle serious harms: “In 2024, drug misuse deaths in England reached almost 3,500” and the economic cost is about £20 billion. The regulations add 10 new DPCs and related substances (aligning with EU controls since 2021) and create a mechanism to control movements between Great Britain and Northern Ireland. They also align offences with documentation/reporting duties.

The order extends criminal offences to 12 DPCs and 16 related substances controlled by the UN between 2014 and 2024. Addressing delays and process faults, the Minister said a drugs legislation log has been created and the Permanent Secretary is reviewing dependencies on international obligations; refunds will be offered where fees lacked clear authority, totalling “around £3,000.” Both instruments were agreed.

Immigration and Asylum (Provision of Accommodation to Failed Asylum‑Seekers) (Amendment) Regulations 2026 and Asylum Seekers (Reception Conditions) (Amendment) Regulations 2026 – Motions to Approve

Lord Hanson said asylum support should be “fair and only where it is genuinely justified,” noting “107,003 individuals in receipt of asylum support,” 30,657 in hotels, and spend of “£4 billion” in 2024–25. One instrument “removes the duty to provide asylum support,” reverting to a discretionary power allowing case‑by‑case decisions, including withholding support from those with permission to work or who have intentionally made themselves destitute. The other makes “illegal working … itself a breach of asylum support conditions,” enabling clearer discontinuation without lengthy fraud inquiries.

Peers raised risks of destitution and clarity gaps. The Minister said “support will continue to be provided when an eligible person has a child dependent under 18 years of age”, that guidance will be issued before implementation and that action is needed as relevant powers “expire in June 2026”. He added “the goal of the Home Office is not to make people destitute”, reported “approximately 9,000 people have been arrested on the basis of illegal working” in the past year, and committed to publish the 56‑day move‑on pilot evaluation “in spring,” keeping the new 42‑day period under review. Both instruments were approved.

Local Authorities (Changes to Years of Ordinary Elections) (England) (Revocation) Order 2026 – Motion to Regret

Baroness Scott of Bybrook regretted the process that led to proposing and then quickly reversing postponements of local elections in 30 councils, citing the SLSC: “The sudden cancellation of a key government policy less than two weeks after legislation was laid … has made a challenging situation worse”. She warned that “Confusion erodes trust in our democratic processes” and affirmed the importance of proceeding as scheduled.

Minister Baroness Taylor of Stevenage set out the reorganisation context, representations, and said “legal advice prompted the Government to reconsider and withdraw their earlier postponement decision,” with all affected elections now to proceed in May 2026. She noted an agreed amendment to prevent double postponements linked to reorganisation and cited precedents for earlier delays (2019–22). The Motion was withdrawn; Baroness Scott concluded that “the power, responsibility and ability to cancel local elections lie with the Government and the Government alone.”

Bills returned from the Commons

The House was notified that the Crime and Policing Bill and the Victims and Courts Bill were returned from the Commons with amendments/reasons.