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From Citizendium, the Citizens' Compendium

In the United Kingdom a Baron is the lowest of the five degrees of peerage, below a Viscount, but above the (non-peerage) hereditary honour of a Baronet. Upon creation by the Sovereign (almost ubiquitously under recommendation by the Prime Minister), a Baron (and his heirs when they succeeded to the Barony) used to have the right to seat in the House of Lords. The Lords Reform has, however, removed the right of hereditary peers to a seat in the Lords.

Most Life Peers are created Barons, although there is technically no reason why life peerages should not be of higher orders.