Lobbying of Government Committee

Starting with the effectiveness of existing lobbying legislation, we are currently conducting post-legislative scrutiny of part 1 of the Transparency of Lobbying, Non-party Campaigning and Trade Union Administration Act 2014, which we all know as the lobbying Act. It is looking precisely at the scope and effectiveness of that legislation. The hon. Lady did not mention that—not one whit. That legislation introduced a new statutory register of consultant lobbyists and a requirement that those undertaking paid lobbying on behalf of any third party must register and make clear who they are representing to Ministers and permanent secretaries.

The requirement for consultant lobbyists to declare that work complements the system of self-regulation that lobbyists also adhere to through professional codes of conduct. It makes transparent otherwise hidden lobbying. It remains an important part of the framework, filling an accountability and transparency gap that existed prior to that point. We think that it operates effectively but, as I have said, we are looking at whether further improvements can be made, as is best practice through post-legislative scrutiny. Once that work is complete, we intend to deliver a memorandum to the Public Administration and Constitutional Affairs Committee for further scrutiny. Would it really be constructive for these workstreams to be undertaken in parallel by separate Committees, potentially cutting across one another, sowing confusion? We think that it would not.

While the creation of Select Committees is of course a matter for the House, there are already relevant Committees in Parliament with the powers and capacity to do such work as is proposed. I note that the Chair, and indeed the prior Chair, of PACAC have already spoken today. That Committee is responsible for the examination of the quality and standards of administration across the Government. In this Parliament, it has already undertaken relevant inquiries. Indeed, it has also called the chair of the Committee on Standards in Public Life to give evidence. It has the powers to send for persons, papers and records, and to report to the House—the powers proposed for the new Committee—so I question the necessity of an additional Committee. Indeed, that additional proposed Committee would also cost a quarter of a million pounds.

Her Majesty’s Government has a full framework in place to ensure that public money is spent efficiently, and that those who serve as stewards of those public resources act in accordance with the highest standards and in the public interest. The use of public money is overseen by the Treasury and, of course, Parliament, and the use of public position and information is overseen by the Cabinet Office and rightly held to account by Parliament and the public. Furthermore, all those who work across the public sector are expected to maintain the ethical standards embodied in the seven principles of public life, which underpin the respective codes for Ministers, for the civil service and for special advisors, as well as the code of conduct for board members of public bodies. That requirement to act with integrity means that public office holders must avoid placing themselves under any obligation to people or organisations that might try inappropriately to influence them in their work, and all holders of public office must declare and resolve any interests.

We are not complacent, neither about the scale of this challenge nor about taking action where necessary to uphold the public’s faith in what we should all stand for. Since 2010, under the coalition and then under Conservative Governments, we have significantly increased transparency on the workings of Government—which the public should rightly be able to expect—from publishing contracts and details of spending, salaries, tenders and meetings to launching that statutory register of consultant lobbyists, far more than ever published under the last Labour Government. This Government have banned the once-endemic practice of Government quangos hiring lobbyists to lobby the Government. They have ensured that taxpayer-funded Government grants are not then used to lobby the Government themselves. They have introduced greater transparency of trade unions and campaign finance controls on third parties seeking to lobby in our elections, so when the Government are being held to account—as is right—it is because a tougher regime of transparency has been in place for over a decade, and is now the norm.

We are going further still to uphold the covenant of trust with the public. I have already touched on the Government’s review of lobbying legislation. In addition, we are reviewing and improving business appointment rules, which I will return to in a moment or two. However, as the hon. Member for Leeds West dwelt upon at some length, the Cabinet Office this week has announced a review on behalf of the Prime Minister into the role in Government of Greensill Capital, the finance company that went into administration last month. The review will look at the development and use of supply chain finance associated activities in Government, and specifically the role of Greensill, including how contracts were secured and business representatives engaged with Government.

The review will be wide-ranging, and will also consider the issues raised by my noble Friend Lord Pickles regarding Mr Bill Crothers’ role at Greensill Capital. The public can be assured that Mr Nigel Boardman, the senior lawyer leading the review, who will pause his activities as a non-executive director at the Department for Business, Energy and Industrial Strategy for the duration, will have full access to the people who were in government at the relevant time and who made the relevant decisions. I would add that the information that has already emerged in recent weeks about Greensill Capital has done so in some part because the system in place is doing its job, and ensuring support for transparency and accountability.

I will not go into great detail further about recent events, because that inquiry will do so, but two further things can be said now about lobbying policy. First, the Registrar of Consultant Lobbyists conducted an investigation into Mr David Cameron’s activities, and has confirmed that those did not require registration under the current legislative framework. For good reason, these rules apply to consultant lobbyists, who may seek to influence policy making on behalf of a third party who would otherwise be hidden. Mr Cameron was working openly in-house as an employee. To complement this law, the meetings of Ministers and permanent secretaries with external organisations are published on a quarterly basis and are made available on gov.uk. That data describes both the purpose of the meeting and the names of the organisations or individuals who are met. That is very important. Regulation must of course balance the need for transparency by lobbyists while not preventing engagement by the voluntary and private sectors.

The second thing is to engage in the politics of today’s Opposition day, although it is a great shame to do so in a period of national mourning. The hon. Member for Leeds West failed to say that Labour now wants to repeal the Transparency of Lobbying, Non-party Campaigning and Trade Union Administration Act 2014. This was in its manifesto, alongside repealing the Trade Union Act 2016. Who is not to say that the Labour party would simply give favours to the union barons who bankroll it? After the EU referendum, Labour MPs called for tighter controls on third-party campaigning, but their official policy is to rip up these lobbying laws. Indeed, in 2014, at the time of making that law, the Labour party supported amendments that would have placed significant barriers on engagement and required thousands of businesses, charities, non-governmental organisations and trade bodies to pay a registration fee of £1,000 a year to write or speak to Ministers. This could have been detrimental to the public interest during the covid pandemic, when groups across civil society rightly wanted to put their case to Government.

However, I agree with the hon. Lady that transparency and probity are fundamental. I would like to cover one more area on business appointment rules. As I have mentioned, the Cabinet Office is working with Lord Pickles, who is the chair of ACOBA, to improve and extend the business appointment regime. That applies lobbying bans on former Ministers and civil servants, including special advisers. The business appointment rules seek to protect the integrity of the Government while allowing for people to move on to roles outside government. Although affording ACOBA statutory powers to enforce these rules would be out of line with the general principle of UK law that Ministers and officials are subject to the same legal system and statutory framework as everybody else, ACOBA is able to enforce a range of sanctions for non-compliance. That is very important. The Government support changes being introduced by ACOBA to improve the business appointment process. A framework with a risk-based consideration of cases aims to bring greater transparency and improve the reporting of any breach of the rules, increasing the moral and reputational pressure on those leaving public office. In addition, the Cabinet Office is leading work to improve the scope, clarity and enforcement of the rules, and how consistently and proportionately they are implemented across government. In short, we are taking action on a range of fronts to ensure that we maintain the highest standards in our politics and public life.

We should all condemn the kind of lobbying that gives politics and politicians a bad name in all parts of the House, but this motion does not achieve that. Instead, it sidetracks, proliferates and duplicates. I invite Labour to settle its own view, find its own position, and agree with us that transparency and probity are vitally important. I urge all hon. and right hon. Members to join us in this work to continue to scrutinise these critically important matters through the work of existing Select Committees, through the Committee on Standards in Public Life, and through the inquiry that we have now set up—among other ongoing, unstinting efforts that are of course accountable to this House—and to vote against this unnecessary and unconstructive motion that achieves so little extra. It is incumbent on all politicians to act with integrity as elected Members, as Ministers when we hold such positions, and in accordance with the principles of public life. It is incumbent on all of us in this House to ensure that important issues are carefully and effectively scrutinised. I have explained today how the Government are playing their part in this, and I urge all hon. Members to vote against the motion.

I invite Members to compare and contrast that level of access to the Chancellor and the powers that be at the centre of Government with that given to the millions of people and businesses left without any UK Government support during the pandemic, and in particular the group of the excluded—those 3 million self-employed people who have been left without a penny of Government support. What they would have given for just one of the opportunities that were afforded Mr Cameron, let alone the 10 that he got.

I wonder whether Mr Cameron recalled at any point while brokering those meetings his own hollow words of February 2010. He said:

“We all know how it works. The lunches, the hospitality, the quiet word in your ear, the ex-ministers and ex-advisers for hire, helping big business find the right way to get its way.”

Of course, now it transpires that the Greensill influence in Downing Street during the Cameron years went even further and deeper than we could ever have imagined, with the astonishing revelation that in 2015, one of Britain’s most senior civil servants was given permission to work part-time as an adviser to the board of Greensill while still serving as the UK Government’s head of procurement.

How is it possible that the Cabinet Office gave the green light for the former Government chief commercial officer at the Cabinet Office to become part of Greensill Capital in September 2015 while still working as a supposedly impartial civil servant? Who authorised such a move? Who approved this appointment? Who thought that that was okay? What questions did the people at the Cabinet Office operating the internal conflict of interest policy actually ask to reach the conclusion that it was perfectly all right for one of the UK’s most senior civil servants to twin-track and work for a private finance company whose owner at that point was swanning about Downing Street, dishing out business cards describing himself as a special adviser to the Prime Minister? It beggars belief.

This is crony capitalism at its worst. It stinks. The closer we get to it, the more it reeks, and that is why we will be supporting a full independent and transparent investigation and why we will support this motion when the House divides this afternoon.

On its own, the Greensill scandal would be bad enough. Unfortunately it is far from being an isolated event. It is just the most recent example of the rampant cronyism that is at the heart and centre of this Government, who seem to be stumbling from one scandal to another as the details emerge of a network of those who have become fabulously wealthy during this pandemic not because of their skill or business acumen but because of their political connections. In November, the National Audit Office revealed that companies with political connections who wanted to supply the UK with personal protective equipment were directed to a high priority channel, where their bids were 10 times more likely to be successful than those from companies that did not have links to politicians and senior Government officials.

In and of itself, the existence of this high priority channel is quite remarkable, but it becomes far more sinister when we consider that the NAO also reported that there were no written rules for how this high priority channel should operate, meaning that the companies gaining political support had access to hundreds of millions of pounds of public funds, were not subject to the usual procurement rules, and could bypass the essential paperwork that in normal times would be a prerequisite for safeguarding against the misuse of public funds.

No matter how we look at this, it is not a good look. I absolutely agree with Professor Liz David-Barrett of the University of Sussex when she said:

“It’s not clear to me why MPs or peers should have any special expertise on whether a company is qualified to provide PPE.”

She is absolutely right. She went on to make the entirely reasonable point that those who can be described as being linked to politically exposed persons are usually treated as being higher risk and therefore deserving of more scrutiny rather than less.