Question proposed, That the clause stand part of the Bill.

The identification doctrine is a legal test used to determine whether the actions and mind of a corporate body can be regarded as those of a natural person. The concept has existed in common law since 1971, but, since then, companies and corporations have grown in size and complexity, which has made it more difficult to determine who a controlling mind might be. That means that employees of large corporations with significant control over business areas are none the less not considered sufficiently controlling under that common-law legal test originally dating from 1971. Therefore, the corporations for which they work might not be held criminally liable where we think they should be.

Substantial progress was made to address the issue in the Economic Crime and Corporate Transparency Act 2023, which put the identification doctrine on a new statutory footing, making provisions to ensure that corporate liability can exist where a senior manager commits an offence while acting in the scope of their actual or apparent authority. However, because of the scope of that Act, it only applied to economic offences.

During the passage of that Act through Parliament in the last calendar year, the Government committed to expanding the statutory identification doctrine that I have just described—the expanded version that applies to large companies and the many senior managers in them—to all kinds of crime. Clause 14 makes good on that Government commitment by repealing the relevant sections of the Economic Crime and Corporate Transparency Act 2023 and replacing them with the identification doctrine applying to all crime and not just economic crime.

I am sure that all of us here want to make sure that when large corporates commit offences, they are held to account and prosecuted. The common law provisions, dating back to 1971, are too restrictive. They do not go wide enough or reflect the fact that modern-day corporations have quite a few senior managers taking decisions. The clause takes what has been done already for economic crime and applies it to all criminal law. On that basis, I hope it commands the immediate and enthusiastic assent of the Committee this afternoon.

I am not sure what “immediate” means in that context—must I instantly print off clause 14 and staple it to my back? Nevertheless, we support the clause. We supported similar provisions in the passage of the Economic Crime and Corporate Transparency Act, and this finishes off the job. It is actually very pertinent to the week we have had in Parliament, because it is safe to say that this week has been dominated by the outrage about the Post Office/Horizon scandal. There is a legitimate expectation among the public and in this place that when such things happen, individuals and entities will be held accountable, so I do not think we will find much to disagree with. Obviously, the provisions will not apply in the case of the Post Office/Horizon scandal, but they will do so in the future.

The Post Office/Horizon scandal is exceptionally important. There will be others that come through and find their moment, for whatever reason—whether they relate to Hillsborough, Primodos, sodium valproate, surgical meshes or anything covered by the Cumberlege review. We need much quicker action. The Post Office/Horizon scandal is ongoing, presumably because the major elements of perpetration have already taken place. They would not be in scope of the Bill, so I would be interested in the Minister’s views. Other than that, I am happy to give the clause our support.

In common with most legislative provisions, these provisions are prospective, rather than retrospective; we legislate retrospectively only rarely. I understand that some Post Office-specific measures may be brought before Parliament. There will be ample opportunity to debate them and to seek to right the very grave injustice that has clearly been committed.

Question put and agreed to.

Clause 14 accordingly ordered to stand part of the Bill.

Ordered, That further consideration be now adjourned. —(Scott Mann.)

Adjourned till Tuesday 16 January at twenty-five past Nine o’clock.

CJB21 Anti-Counterfeiting Group

CJB22 R E Flook

CJB23 Dr. Jamie Grace

CJB24 L Grieve Policy & Engagement Manager British Pregnancy Advisory Service

CJB25 Letter from Ministers Philp and Farris, re: Criminal Justice Bill: Government Amendments for Committee, dated 19 December 2023

CJB26 Supplementary European Convention on Human Rights Memorandum by the Home Office

CJB27 Supplementary Delegated Powers Memorandum by the Home Office

CJB28 Jane Lamprill

CJB29 Prisoners Abroad

CJB30 Homeless Link

CJB31 Joint Modern Slavery Policy Unit of Justice and Care and the Centre for Social Justice

CJB32 Chartered Institute of Housing

CJB33 Generation Rent

CJB34 John Pidgeon CART

CJB35 Gary Lilburn CDA

CJB36 Letter from Ministers Philp and Farris, re: Criminal Justice Bill: Government Amendments for Committee, dated 9 January 2024

CJB37 Annex: Supplementary European Convention on Human Rights Memorandum by the Home Office