Lords Defy Commons with Child Safety, Devolution Wins

High-Level Summary

The House of Lords held Oral Questions on online challenger banks, student visa decision‑making, national museums policy, and implementation of the For Women Scotland Supreme Court ruling. Peers then conducted extensive legislative “ping‑pong” on the Crime and Policing Bill, the Children’s Wellbeing and Schools Bill, the English Devolution and Community Empowerment Bill, and the Pension Schemes Bill. The House approved the Chemicals (Health and Safety) Regulations after a proposed fatal amendment was withdrawn and debated a Government Statement on recent antisemitic attacks. It also approved regulations to complete the phase‑out of delinked farm payments and agreed to carry over the City of London (Markets) Bill.

Detailed Summary

Oral Questions: Online Challenger Banks

The Treasury Minister said decisions to provide banking services are commercial, but anti‑money laundering rules require proportionate, risk‑based checks: “all new customers opening an account must be subject to due diligence under the money laundering regulations”. He added that, where an account is refused, a bank “can disclose why … but it is not generally required to do so” and firms remain responsible for automated decisions. Peers raised access and fairness. On defence firms, the Minister agreed access to finance is “incredibly important” and shared concerns about cited cases. On inclusion, he noted “we have set out an ambition to have 350 banking hubs” and said Cash Access UK will deploy hubs where the industry body deems appropriate. On politically exposed persons, he said domestic PEPs should be treated as lower risk in the absence of other factors and that “banks should apply due diligence measures proportionately”.

Oral Questions: Student Visas

Asked about training and quality assurance for student visa caseworkers, the Minister said UKVI has “a comprehensive training programme … supported by a quality assurance framework”. He agreed to meet Universities UK and cited recent volumes and refusal rates: “448,241 entry clearance applications were received and only 18,434 were refused, which is about 4%”. Peers pressed on decisions versus appeals, a temporary “brake” on countries with high asylum claims, fraud, removals and criminal gangs. The Minister said it is essential “we get the first decision right”, confirmed a temporary brake on Afghanistan, Cameroon, Myanmar and Sudan, undertook to write with removals data, highlighted “intelligence‑led policing” against gangs, and said staffing had been increased to speed processing. On security risks in sensitive subjects, he said admissions are strictly checked and noted “we have accepted over 448,000 people, but … rejected 18,000”.

Oral Questions: National Museums and Galleries

Asked about retaining universal free entry, the Minister replied: “we are not considering any changes to free entry for UK nationals and residents,” while exploring the option of charging international visitors, noting the issue’s complexity. She said DCMS is working with national museums through a working group and “we are not planning to come to any conclusions before the autumn”. She highlighted skills needs when discussing the Bayeux Tapestry loan, said the Government is assessing the VAT Section 33A implications of any charging scheme, and noted that any charging policy decisions could be taken “through their trustees”.

Oral Questions: For Women Scotland (Supreme Court judgment)

The Minister said the ruling “brings clarity for women and service providers” and departments are updating policies; internal Civil Service guidance is under review. Challenged on delays, he said there had been no delay and that “the Supreme Court judgment must be complied with”. On implementation in constrained buildings and the Restoration and Renewal programme, he cited accessibility and equality as key and said Ministers had asked the EHRC for proportionate cost assessments to inform decisions. On pre‑election restrictions, he said the code “will be laid as soon as possible after the election. That means in May”, reaffirmed that all councils must comply with the law, and said the EHRC had been asked to consider costs to the public purse.

Arrangement of Business; City of London (Markets) Bill

The Government Chief Whip set out the plan for consideration of Commons messages and tabling deadlines, with updates to follow via the annunciator. The House agreed to suspend proceedings on the City of London (Markets) Bill to the next Session under Standing Order 188A (“Motion agreed”).

Crime and Policing Bill – Commons Reasons and Amendments

On fixed penalty notices (FPNs) and private enforcement, the Minister urged the House not to insist on its amendments, pointing to new statutory guidance on FPN use to be issued within six months of Royal Assent. Lord Clement‑Jones, while criticising abuses by the “cowboy enforcement” economy, accepted the government amendment because guidance “must be delivered within six months of Royal Assent” and would prevent incentivising private contractors to fine. Motion A was agreed. On proscribing the IRGC, Ministers resisted a Lords amendment, citing existing sanctions and a forthcoming “proscription‑like” state threats power: “Work on this legislation is well under way”. Lord Pannick noted the Prime Minister’s commitment: “We go into a new session in a few weeks’ time, and we’ll bring that legislation forward”. After assurances, Motion B1 was withdrawn and Motion B agreed.

Children’s Wellbeing and Schools Bill – Commons Reasons and Amendments

Ministers strengthened their approach to online safety by committing that the Secretary of State “must” act after consultation and by setting a timeline presented as a ceiling of 24 months, not a target. They added a duty to have regard to harmful and potentially addictive features and resisted fixing an under‑16 limit in the Bill, arguing that would pre‑empt consultation. Lord Nash urged a statutory under‑16 restriction for harmful social media features, citing ministerial statements that “algorithms … shouldn’t be permitted … they must go”. The House insisted on his amendment; Motion A1 carried (Ayes 316, Noes 165). On smartphones in schools, Ministers confirmed guidance that pupils should “not have access to their mobile phone throughout the school day” and committed to review impact data and update guidance by September 2027. Motion C1 was not moved and Motion C agreed. On admissions (published admission numbers), the House agreed government amendments requiring consideration of school quality and parental preference.

Chemicals (Health and Safety) (Amendment, Consequential and Transitional Provision) Regulations 2026 – Motion to Approve (fatal amendment withdrawn)

The Minister said the SI updates GB regimes for biocides, classification, labelling and packaging (CLP), and prior informed consent (PIC), to ensure efficiency while maintaining protections. She highlighted planned dynamic alignment with the EU on biocides through a future SPS agreement and work to incorporate the EU’s six new hazard classes into GB CLP by 2027. The SI extends approvals for up to 173 biocidal active substances to 31 July 2031 to avoid disruption and removes an obsolete special reference identification number requirement under PIC. Baroness Bennett moved a fatal amendment citing accountability and environmental concerns, but, after debate on HSE capacity and alignment, withdrew it: “Amendment to the Motion withdrawn. Motion agreed”.

Antisemitic Attacks – Statement (questions)

The Statement detailed recent arson attacks on synagogues and Jewish premises and the police response, including increased patrols and arrests: “These include an arson attack at a synagogue in Finchley … and a further incident … opposite a synagogue”. It cited additional funding and capabilities deployed and affirmed: “we will never tolerate hostile activity on British soil”. Peers urged stronger action against Islamist extremism. The Minister said the Government would tackle antisemitism and extremism “from whichever source it comes” and condemned those with a “perverted view of the faith of Islam”. He pointed to sanctions on the IRGC and said state‑linked proscription powers would be brought forward “as soon as practicable,” noting the King’s Speech is “not too far away”.

Agriculture (Delinked Payments) (Reductions) (England) Regulations 2026 – Motion to Approve

The Minister said the SI sets reductions for 2026‑27 to complete phasing out delinked payments by 2027 and reinvest funding in other schemes: “2027 will be the last year of delinked payments”. She highlighted the expansion of environmental land management, with “50,000 farm businesses and half of all farmed land” already covered. A regret amendment warned of pressures and uncertainty for farmers, but after debate it was withdrawn and the Motion agreed.

English Devolution and Community Empowerment Bill – Commons Reasons and Amendments

The Government accepted adding rural affairs and coastal communities to mayors’ areas of competence. On ministerial powers, they proposed “removing the power for the Secretary of State to provide directly for a mayor in an area without local consent”. The Lords insisted on a brownfield‑first planning amendment (Motion B1 agreed: Ayes 217, Noes 145) and on councils’ freedom to choose their governance model rather than mandating leader‑and‑cabinet (Motion C1 agreed: Ayes 210, Noes 145). The House accepted government amendments requiring local authorities to engage parish councils and permitting “parish representation” in neighbourhood governance. An attempt to codify an “agent of change” noise principle in statute was defeated (Motion E1 disagreed) after ministers argued it was unnecessary in primary law. The Lords also limited wider backstop direction powers (Motion F1 agreed: Ayes 199, Noes 144).

Pension Schemes Bill – Commons Amendments (reserve power; savers’ interest test)

The Minister recapped strong Commons support for a reserve power to mandate limited private market allocations, noting three rounds of concessions and a strengthened savers’ interest test, including a “likely to” threshold, due regard to schemes’ reasoning, and reasons for refusals. Baroness Bowles argued mandation still conflicted with fiduciary duty and relied on threat not law: “So we continue and, unfortunately, mandation remains”. The Lords insisted on their amendments; Motion A1 was carried (Ayes 197, Noes 129), sending the Bill back to the Commons.