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269WH<br />
Drugs<br />
6 JUNE 2013<br />
Drugs<br />
270WH<br />
at what New Zealand is doing. I am suggesting not that<br />
he needs to go t<strong>here</strong>, but that he engage with what New<br />
Zealand Ministers have done, because we should adopt<br />
such good practice in future. I urge the Government to<br />
follow our recommendation to make retailers liable for<br />
the harms caused by untested psychoactive substances<br />
that they have sold. Just as a garage would be responsible<br />
for a crash involving a faulty car, legal high sellers<br />
should be accountable for the effects of their products.<br />
The cost of ineffective drugs policy reaches far wider<br />
than the <strong>United</strong> <strong>Kingdom</strong>. During the Committee’s<br />
visit to Colombia, we witnessed how the devastating<br />
impact of drugs extends far beyond the addict. In 2010,<br />
coca was cultivated on 149,100 hectares in Andean<br />
countries—an area roughly one and a half times the<br />
size of Hong Kong—that cannot afford to fight the<br />
drugs war on their own. The value of the global cocaine<br />
market is £543 billion, while Bolivia’s national budget,<br />
for example, is just £1.69 billion. Despite damage to<br />
their land, farmers receive only 1% of the revenue from<br />
global cocaine sales. When the Committee met the<br />
President of Colombia, Juan Manuel Santos, he asked<br />
us why his policemen, his judges and his citizens should<br />
die in the war on drugs when members of the British<br />
public were the ones who wanted to use those drugs.<br />
The responsibility lies with us.<br />
I want to take this opportunity to pay tribute to<br />
President Santos and his soldiers and police officers<br />
who, day after day, die protecting us from the scourge of<br />
cocaine. We owe them a huge debt of gratitude. I shall<br />
be meeting him this afternoon as he is in London and I<br />
will again convey the thanks of our country. I also want<br />
to thank the Colombian ambassador to the <strong>United</strong><br />
<strong>Kingdom</strong>, His Excellency Ambassador Rodriguez, for<br />
his assistance with our visit to Colombia and for keeping<br />
us informed with a regular dialogue.<br />
Some 85% of profits are earned by distributors of<br />
drugs in the <strong>United</strong> States or Europe, and the <strong>United</strong><br />
Nations estimates that global drugs profits stand at<br />
£380 billion, the vast majority of which ends up in<br />
our financial system. Antonio Maria Costa, the former<br />
head of the UN Office on Drugs and Crime, has said:<br />
“I cannot think of one bank in the world that has not been<br />
penetrated by mafia money.”<br />
Banks with British bases, such as Coutts and HSBC,<br />
have been found guilty of laundering drugs money, yet<br />
t<strong>here</strong> have been no individual prosecutions, just fines,<br />
which are basically a drop in the ocean for multinational<br />
banks. Those companies need to hear the rattling of<br />
handcuffs in their boardrooms. We must bring forward<br />
new legislation to extend the personal criminal liability<br />
of those who hold senior positions in our banks and<br />
who have been found wanting for not dealing with<br />
money laundering.<br />
The Financial Services Authority did not come up to<br />
scratch on that issue, as it ignored almost $380 billion<br />
of money laundered by the drug cartels and dealers. I<br />
hope—I look to the Minister for assurance on this<br />
matter—that the new Financial Conduct Authority will<br />
be much tougher than the FSA, because we were not<br />
overly convinced by the FSA’s work.<br />
After a year scrutinizing UK drugs policy, it was<br />
clear to the Committee that many aspects of our current<br />
drugs policy were simply not working and needed to be<br />
reviewed. When the then Lord Chancellor, the right<br />
hon. and learned Member for Rushcliffe (Mr Clarke),<br />
gave evidence to the Committee, he told us that the war<br />
on drugs had failed. The Prison Governors Association<br />
also recently said that we needed to rethink our approach<br />
to drugs. We are not dealing with the dealers or focusing<br />
on the users. Drugs still cost thousands of lives and<br />
billions of pounds each year.<br />
People are already describing Guinea-Bissau as the<br />
world’s first narco-state. That is why we felt that, even<br />
after a year’s inquiry, the visits that we made and the<br />
evidence that we took, it was vital that the Government<br />
established a royal commission. We felt that the best<br />
way forward was to bring all the people with great<br />
expertise, including those who have been affected by<br />
drugs, before a royal commission headed by a High<br />
Court judge so that we can study in huge depth this<br />
subject that even we, after a year, have not got to the<br />
bottom of.<br />
I urge the Minister to reconsider our proposal on a<br />
royal commission. I think that he supports the idea of<br />
one, but the problem is with other parts of the coalition<br />
Government. It is the policy of his party and his leader,<br />
the Deputy Prime Minister, to support a royal commission,<br />
and it is a policy that has been advocated by the hon.<br />
Member for Cambridge. I cannot remember the quote<br />
of the Deputy Prime Minister, but he once lavishly<br />
praised the hon. Gentleman, saying that as far as he was<br />
concerned, on certain aspects of policy, what the hon.<br />
Member for Cambridge said went. I hope very much<br />
that the royal commission can be established and that<br />
the Government will look at all aspects of drugs policy,<br />
so that t<strong>here</strong> is a proper debate. We do not want a<br />
situation in which politicians run away as soon as the<br />
word “drugs” is mentioned and everyone hides under<br />
the table. We want a proper and open discussion, as I<br />
had in Leicester. I asked the Leicester Mercury to conduct<br />
a citizens’ poll to tell me what the people felt about the<br />
matter. I pay tribute to the Leicester Mercury and all the<br />
other local papers that were part of that debate. Let the<br />
people decide; let them put forward their views to a<br />
royal commission. I believe that that is the proper way<br />
forward.<br />
To those who say that a royal commission could last<br />
forever, let me say that we thought about that, which is<br />
why we suggested that it should have an end date of<br />
2015—that magic year in the history of our country<br />
when all things will change and all things will become<br />
visible. This matter is a great challenge for us and for<br />
our generation of politicians and I hope that we will rise<br />
to it.<br />
Hugh Bayley (in the Chair): I think that the Chamber<br />
should hear from the hon. Member for Cambridge (Dr<br />
Huppert).<br />
1.56 pm<br />
Dr Julian Huppert (Cambridge) (LD): It is a pleasure<br />
to serve under your chairmanship, Mr Bayley, and to<br />
follow the Chair of the Select Committee, especially<br />
after his kind words. I am not sure that they were<br />
entirely accurate. I think that he was referring to the<br />
draft Communications Data Bill, which he and I and<br />
various others have discussed in the past.<br />
I congratulate the Chair of the Select Committee on<br />
having the courage to ensure that the Committee considered<br />
this issue, because it is so sensitive and can lead to a