
Houses of Parliament. Photograh by Peter Broster
London has long held the embarrassing title of the “libel capital of the world”, but that is now soon to change after peers in the Lords voted to pass the Defamation Bill following a three year campaign by Liberal Democrat peers Lord McNally and Lord Lester.
The bill should provide more protection to individuals and organisations, including the press, which criticise big businesses. “Libel tourism” should also be dramatically reduced by preventing cases being taken in London against individuals, academics, and journalists who live outside the country, but foreigners will still be able to lodge claims in the high court against British residents. Corporations will have to prove “financial loss” to bring a libel suit as well.
The bill passed in the Lords with a majority of 78, meaning it will now return to the commons today for formal approval with no opportunity for fresh amendments to be added.
Labour peers were defeated on adding an amendment which would have extended the ban on local councils suing for libel in relation to execution of their public duties to private companies and third parties performing these roles.
Peers voted by a majority of 78 to pass the bill, which means it will now return to the Commons on Wednesday for formal approval with no possibility of fresh amendments.
These changes to the law should see wide improvements in the openness of public discussion on sensitive topics, such as the usefulness of certain drugs from pharmaceutical companies.