DISAPPOINTMENT AT FAILURE TO TACKLE TRADE JUSTICE

Angus MP, Mike Weir, SNP Trade & Industry Spokesperson, has expressed disappointment at the failure of the new Companies Bill to tackle the issue of the liability of UK Companies for actions of subsidiaries in developing countries.

The clause seeking to insert the provision fell through lack of time in the Commons yesterday.  Speaking during the Third Reading debate Mr Weir expressed strong disappointment at the failure to discuss the clause and attacked the government’s attitude to the matter.

“The Government argue that the Bill is not the place to deal with such matters, but it codifies the law affecting UK companies so, if it is not appropriate for this purpose, what would be?

“We have been told that the Bill sets out company law in the 21^st Century but it has been noted often enough over the past few days that the world is changing.  Companies have to change with it: the issues to do with the environment and trade justice are much more to the fore, and companies need to reflect our changing times.

“This was the time and the place to tackle the issue, and to ensure that UK companies were at the forefront in accepting responsibility for their actions, and those of their subsidiaries, overseas.  The best of our companies already do that; I stress that we are not talking about the majority of companies, who act responsibly in most areas.  One of the problems is that people in many developing countries cannot easily get access to the courts.  We have a well developed legal system, and a massive Bill on what our companies can do.  We should have taken that extra step and allowed justice to prevail for those affected by the actions of some in the developing world, and it is a shame that we did not.”