Elysia McCaffrey, Gangmasters and Labour Abuse Authority- Written evidence (MSA0082)

Dear Chair

Submission to the House of Lords Committee on the Modern Slavery Act 2015 from the Gangmasters and Labour Abuse Authority (www.gla.gov.uk)

On 4th March 2024 Phil Cain and I gave evidence to the Lords Committee on the Modern Slavery Act. We promised to write in relation to the questions that were asked at the end of the session and which the committee ran out of time for. We are also supplying evidence in relation to the recent call for evidence.

Baroness Barker asked about the importance of financial investigation in both agriculture and care, and our view on financial tracking.

The GLAA currently has Financial Intelligence Officers, and we are preparing to train some Financial Investigators to support our Modern Slavery Investigations. GLAA investigators often see large sums of money associated with the labour exploitation taking place in the UK.

The amounts being charged by exploiters against victims can amount to tens of thousands of pounds. These fees can originate overseas or within the UK and are replicated over multiple victims, making the criminal business model very lucrative.

The ability to track the money from these illegal transactions would enable the capturing of key evidence of criminal activity but also allow the GLAA to utilise opportunities under the Proceeds of Crime Act to seek confiscation orders upon conviction of the relevant offences. This would allow the money made by the exploiters to be re-invested back into tackling modern slavery.

Without the skill set of Financial Investigators the GLAA is currently unable to maximise these evidential and financial recovery avenues.

Lord Watts highlighted that regulation in the care sector is complicated and asked what regulatory changes we would suggest to reduce exploitation, what involvement we have improving checks conducted on care agencies by the NHS, local authorities and the

Stopping worker exploitation

Employment Agency Standards Inspectorate. He also asked what the DLME and enforcement bodies can do to deliver the benefits that would come through the creation of the single enforcement body.

The GLAA has seen an increase in reports about exploitation in the care sector of more than 400% since 2022. While we have powers to investigate under the Modern Slavery Act, we do not regulate businesses who supply workers into care. The GLAA believes that there is an argument to use the model that the GLAA uses in agriculture to expand our regulatory remit and regulate labour providers who supply workers into care. The GLAA believe that by strengthening the regulatory framework through aligning Care Inspectorate (CQC) responsibilities, UKVI Visa oversight with new GLAA regulatory powers this would t address many of the exploitation issues being seen, including the current gap that exists for those who are supplying workers from overseas.

The GLAA is regularly seeing labour providers charging exorbitant and illegal fees to workers. They are being housed in unacceptably poor accommodation, they are being forced to work excessive hours, or are not being given enough hours to allow them to make a reasonable income. Often the exploitation that we see doesn’t meet the threshold for Modern Slavery, and prosecution is difficult. Introducing the proven licence standards that the GLAA already uses in other sectors could improve the situation for a significant number of vulnerable workers.

The GLAA is supportive of proposals to create a Single Enforcement Body, and are pleased to be already realising benefits from working more closely with other enforcement bodies. This includes joint operational activity and communications.

We welcome the opportunity to submit further evidence, which draws upon our direct experience of investigating offences under the Modern Slavery Act. In 2017 the Immigration Act 2016 extended the remit of the GLAA to include additional police style powers and responsibilities to investigate a range of labour market offences across all sectors in England and Wales.

Whether the Act has kept up-to-date with developments in modern slavery and human trafficking, both within the UK and internationally

The Act currently covers England and Wales; therefore, the GLAA does not have the same powers in the devolved administrations. The GLAA’s remit in Scotland and Northern Ireland is in line with the original scope of the 2004 Gangmasters (Licensing) Act through which the GLA was created, and we cannot act against labour abuses outside of the regulated sectors. Therefore, operational activity across Northern Ireland and Scotland is led by the police. Consistency across the UK would be improved by expanding the GLAA’s remit as enforcers to include Scotland and Northern Ireland. One single and consistent enforcement approach across the UK will provide a single point of contact for modern slavery victims which is the key component to improving the operational effectiveness of all enforcement bodies that support victims of modern slavery including the GLAA.

The efficacy of the other key provisions of the Act, including definitions, sanctions, reporting, enforcement, and the statutory defence for victims

A real strength of the Modern Slavery Act was the inclusion of two new orders to enable the courts to place restrictions on those convicted of modern slavery offences, or those involved in such offences but not yet convicted. Slavery and Trafficking Risk Orders

(STRO) and Slavery and Trafficking Prevention Orders (STPO) are valuable tools for the GLAA as a measure to deter unlawful and harmful activity. GLAA-led investigations have led to 38 STPOs and STROs being issued since 2017, including one interim STRO which was successfully extended to 10 years after investigations by the GLAA.3 This outcome means that the person handed the order must follow all of the restrictions within the STRO. In February 2024 a GLAA led investigation secured a conviction under S.2 Modern Slavery Act where a STOP was granted upon conviction which placed control measures on the offender for a further 5 years.

Any breaches are classed as a criminal offence carrying a maximum penalty of five years in prison. The sanctions that can be imposed through these orders are a vital tool in restricting the activities of individuals who may commit a slavery or trafficking offence or cause physical or psychological harm to victims. The orders work efficiently to disrupt unlawful activity.

The effect of slavery and trafficking reparation orders and Slavery and trafficking reparation orders: supplementary provision in part 1 of the Act are efficient provisions in practice as they enable the GLAA to disrupt criminal activity by seizing the assets of human traffickers and modern slavery criminals and to financially support victims through reparations. This provision directly supports victims through financial aid and acts as a deterrent for perpetrators as their assets will be lawfully removed. However, the efficacy of this provision could improve if a clause were added to improve the timeliness of reparation payments to victims. This needs to be a swifter and more efficient process to both seize criminal assets and in the provision of financial compensation to victims. Conviction at court is a lengthy process and victims have often left the UK before receiving compensation.

The creation of a new statutory defence for slavery or trafficking victims compelled to commit criminal offences (section 45) is an effective support mechanism for victims. Section 45 can be subject to abuse which makes it difficult to prove for investigators, but it is a valuable defence for individuals who have been intimidated into playing a role within the trafficking system.

The provision for the extension of special measures for witnesses testifying in criminal trials to those who have been victims of modern slavery is valuable for vulnerable people, providing protection for victims who do not have to face their abusers in court.

The role of the Independent Anti-Slavery Commissioner, including whether the post is sufficiently resourced, and the process of appointment

Whilst it is not for the GLAA to comment on the level of resourcing associated with the Independent Anti Slavery Commissioner, the landscape of modern slavery offending is complex and all agencies involved would benefit from greater investment to ensure it is properly tackled.

Suggestions for improvements that could be made to the Act to help it to better achieve its aims

The Act could help the GLAA better achieve its aims by expanding our enforcement powers to include Scotland and Northern Ireland. It is essential that victims have a single point of contact for support and guidance that remains consistent regardless of where you are situated in the UK.