Watson was elected MP for West Bromwich East at the 2001 general election. He served on the Home Affairs Select Committee from 2001 to 2003, and supported the committee's recommendation on UK drug policy to "initiate a discussion within the Commission on Narcotic Drugs of alternative ways – including the possibility of legalisation and regulation – to tackle the global drugs dilemma". In his first year in parliament, he launched a campaign to ban album sales of convicted sex offender Gary Glitter.