Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Bill
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Lord Dubs (Lab)
I had to go abroad on the day of Second Reading and I very much regret that I was unable to make a contribution. I do not intend to make a Second Reading speech. However, I should declare a couple of interests. Some years ago I wrote a book on lobbying. It is a very small interest because it is out of print and no one can buy it. It was a do-it-yourself book on how to lobby and was intended specifically for the voluntary sector. The other interest I want to declare is that I spent some years until coming into this House as chief executive of the Refugee Council. Indeed, one of the things that I did most was to lobby. The organisation did quite a lot of lobbying on refugee policy.
I cannot for the life of me understand why that activity should not be incorporated in the register. If we had had the money, we could have hired a firm of lobbyists, which might have had to be on the register. The fact is that we did not have the money and I simply carried out that activity myself. It took me to all three party conferences: going to the Lib-Dem and Tory party conferences, as well as the Labour Party conference, is a subject for another day. I lobbied quite blatantly and I had two members of staff who also did quite a lot of lobbying. I hope that the Minister can tell me why that activity should not be covered in the proposed register.
Lord Wallace of Saltaire (LD)
My Lords, let me start by stressing that lobbying is a normal, valuable, regular aspect of any healthy democratic political system. The question is one of transparency and certainly not one of trying to reduce the level of lobbying in this country. Part 1 was designed to address the problem of consultant lobbying firms entertaining and going to see Ministers without it being clear who they were representing. The Government have dealt with the question of employed lobbyists—members of charities and others—through their arrangements for transparency. Every three months, I and others have to declare who we have met and what organisations employ them, including anyone who happens to be an old friend, perhaps from student days: I have to list “the Information Commissioner” or whoever it may be because a meeting has taken place.
We have looked at other systems, in particular the Canadian one, which adopts the universal system of wishing to take on board every single lobbyist. It is a very large and expensive system and unlike what we propose—I should point out to the noble Lord, Lord Norton—it is funded by the public purse and costs the equivalent of £3 million a year.
Lord Campbell-Savours
The Minister talks about the system he has to use. Did he listen to the contribution from the noble Lord, Lord Tyler, at Second Reading? I think it was he who recalled how very complicated the current system is, how you often have to trawl through hundreds or even thousands of documents, and that it is almost impossible for the general public to have access to that kind of material. It is just too complicated. Does he take that on board?
Lord Wallace of Saltaire
My Lords, I take that on board. The question of designing a system that is easily accessible to everyone, including if one has such a very large register as that which the noble Lord and some others are proposing, is one with which we all have to deal. The Government are indeed looking at making the ministerial diaries more readily and more rapidly available. At present we submit them every three months, so they are sometimes three months or more in arrears. We are aware of that problem. However, we are much more transparent than previous Governments in this respect and are, to that extent, moving forward.
Looking at the Canadian system, we are not persuaded that we need a comprehensive register in which everyone who might be said to be lobbying as a matter of their employment would be included. The Canadian system was introduced in response to a system in which it was felt that there was no information about who Ministers were meeting. We have dealt with the issue of who Ministers are meeting by other means.
Lord Tyler (LD)
If wonder if I can help my noble friend, and the noble Lord, Lord Campbell-Savours. There is a specific amendment which I hope will help with the point he raised. It is not necessary therefore to include every in-house lobbyist because they are already going to be recorded in those meetings and it is fairly obvious why they are there.
Lord Wallace of Saltaire
My Lords, we are more persuaded from other countries that have the light-touch system we are proposing that it is more effective at addressing the problem than the large, expensive and comprehensive system the Canadians have gone in for.
There are a large number of amendments in this group. I will try to address as many of the issues as I can.
Baroness Hayter of Kentish Town
My Lords, before the Minister goes on to the detail of those, I think he has not answered the point—it was made more at Second Reading—of why the existing publication could not simply deal with this. If any Minister meets a consultant lobbyist they name the organisation on behalf of which they have met that consultant and the purpose of it. I still do not understand why that would not meet the objectives there seem to be for the register.
Lord Wallace of Saltaire
My Lords, there was considerable concern while the previous Government were in office that consultant lobbyists were a powerful element in our political system, that we did not know who they represented and that it would be better if the public were informed who their clients were. The noble Baroness has, on a number of occasions, stressed the point that perhaps one should also add what subjects they are discussing with the Government. I am very happy to take that away and perhaps on a belt-and-braces principle that should be tied in. However, I do not think it takes away the issue that for transparency of the democratic process it is desirable to know who consultant lobbyists are representing and who therefore is paying them.
Perhaps I may move on to answer some of the questions. The noble Lord, Lord Campbell-Savours, asks what our assessment is of the number of lobbying organisations that will be required to register. Our current estimate is that it will be somewhere in the order of 350. We have held a number of constructive meetings with representatives of the industry at which we discussed the voluntary register and the code of conduct, and we have talked with the three main industry bodies concerned. They were able to give a reassurance that many of the concerns regarding the application are being met by that.
I turn now to the details. As I said to the noble and learned Lord, Lord Hardie, if the tobacco industry lobbies on behalf of its own industry, we know what is going on. If it is a consultant lobbyist lobbying on behalf of the industry, that is a great deal less clear. That is the underlying distinction between a consultant lobbyist and a professional lobbyist. Because I am concerned with the EU balance of competences exercise, over the past nine months I have read a great deal of evidence produced by the Scotch Whisky Association. I know exactly where the association is coming from and what it is lobbying about. If it were a consultant lobbyist, that would be a different situation. That is the distinction we are making.
On the question of whether we extend this to professional lobbyists, I cannot see the justification for excluding charities from it. As a Minister, I have met a number of charity representatives who have lobbied us on policy issues. That is quite properly a part of what charities themselves do.
Lord Hardie
Does the Minister not accept that charities would be exempt in terms of the schedule because what they do would be incidental to their other activities?
Lord Wallace of Saltaire
I am not sure that I do accept that. I am a member of the National Trust. Yesterday I received an e-mail from the trust which talked about the National Trust’s “vital” campaigning and advocacy work. I have to admit that I did not actually join the National Trust primarily in order to support its campaigning and advocacy work, but it regards that work not as an incidental part of what the trust is for. Noble Lords should look at the most recent announcement made by Oxfam. It is changing its internal organisation so as to put more stress on its campaigning dimension. Campaigning is at the centre of what Oxfam regards as its entirely appropriate charitable activities. Part of campaigning is, of course, lobbying Governments. I therefore do not accept that distinction.
We see the Canadian example as one that suggests overregulation, and therefore distinguish between professional lobbyists and consultant lobbyists. The noble Baroness, Lady Royall, and I were at a conference over the weekend. At one point we were both sitting with a senior executive from BP, and indeed one consultant lobbyist was there. I forgot to ask him precisely who his clients were, and perhaps I should have done. However, when you are talking to a representative of a company, you know who you are talking to and what you are talking about. I came away from the conference much better informed about BP’s involvement in the Southern Corridor pipeline project than I had been, and I trust that that will inform me in future discussions with those Governments through whose territories the pipeline will go.
Transparency is about knowing who these consultant lobbyists are representing. A number of amendments in this group address that point. The Government are not persuaded, but of course we are open to further discussions about particular areas where noble Lords feel that there is an overlap between consultancy and professional lobbying, although I do not entirely see how a particular lobbyist, being employed part time by five or 10 different companies, would somehow get around this legislation, as has been suggested.
Lord Wigley (PC)
A little earlier, the noble Lord mentioned that the Government favoured a light touch. In case the light touch does not work as effectively as he or the Government expect it to, can he amend the Bill in any way as it goes through to provide for adjustments to be made that do not need further primary legislation? It will be years before we come back to this and if we do not get the outcome that many people wish to see, it will be a lost opportunity.
Lord Wallace of Saltaire
That is, again, a fair point, which the Government will look at. We are extending regulation into lobbying here and are reluctant to go too far too quickly. There may be a means of considering further extension on review. The noble Lord will know that we now have a regular practice of having a five-year review of legislation. If whichever Government are then in power decide that this is inadequate, we will see what can be done.
Lord Norton of Louth
I come back to my noble friend’s point about who would be included in the register. He gave the figure of 350. Does he know how many of those would be caught who do not already reveal who their clients are?
Lord Wallace of Saltaire
My Lords, that stretches my expertise very considerably. I will have to consult and write to the noble Lord about that. It is a good academic question. The Government have been quite clear that there is no exemption from the requirement to register for large multidisciplinary firms that conduct consultant lobbying. We refined the exception provided in paragraph 1 by amendment in Committee in the other place to clarify that it will not be enjoyed by organisations such as, for example, law firms if they run consultant lobbying operations and lobby in a manner which is not incidental to their other activity—even if consultant lobbying is not their primary activity. As such, they will be required to register if they meet the other criteria outlined in the definition of consultant lobbying. The provisions outlined in paragraph 1 provide an important and effective exemption for those whose limited involvement in lobbying is in a manner which is merely incidental to their normal professional activity. However, it brings within its scope those that provide consultant lobbying as a major part of their activities and firms for which consultant lobbying is a significant part of their activity.
Opposition Amendment 39 provides a long list of exemptions from the Opposition’s definition of professional lobbying. Exemptions are provided for constituents contacting their Member of Parliament, persons making communications on their own behalf, persons responding to government consultations or an invitation to submit evidence to a parliamentary committee, persons acting on behalf of government, persons not receiving remuneration, and those responding to a court order. That is a very large and unwieldy list of exceptions partly because once one extends this to professional lobbying, the question of definition itself becomes much more difficult. That is, again, partly why we have stuck to consultant lobbying in our approach.
Finally, the noble and learned Lord, Lord Hardie, asked about sovereign powers and the Government of Taiwan. It is very helpful that he has raised Taiwan but it would probably be better, to be absolutely sure that I am correct, that I offer to write to him on that specific point. I would like to reassure him as far as I can.
I hope that I have managed to answer most of the points in these amendments. I have outlined why it is not necessary to extend the register to those who lobby on their own or their employer’s behalf, because it is clear whose interests are being represented. Our proposals will deliver a focused, problem-specific register and, as such, we believe that these amendments are not necessary. I urge the noble and learned Lord to withdraw his amendment.
Lord Mackay of Clashfern (Con)
Is a consultant lobbyist somebody who has more than one client? Is that what constitutes a consultant—somebody who has at least two clients? So far as “professional lobbyist” is concerned, I am not too clear in my own mind so far—no doubt it is my fault—as to what exactly is meant by a professional lobbyist. For example, if a company has engineering matters that it wants to deal with, it might send along an engineer to tell the Minister what it is all about. He might not be described as a professional lobbyist but, being an engineer, at least he knows about the subject matter. Does a professional lobbyist have to have some professional qualification or does professional mean something else? I am rather befogged.
Lord Wallace of Saltaire
My Lords, that is a very fair intervention. That is one of the reasons why we hesitate to include people whose main responsibilities within the charity or company for which they work is to contact government. The public affairs departments of major companies are the ones dealing with government, trying to interface between the company and the political process, and it would be the public affairs departments of many companies with which one would therefore logically deal. I know many people who have gone to work in the public affairs departments of companies—I am sure we all do. It is very often where people who have been involved in politics go afterwards to earn what they failed to earn in politics.
The noble and learned Lord is absolutely correct to say that in the exact definition of a professional lobbyist we are talking about people who are employed by a company, campaigning group or charity and pursue its interests in its relations with government. A consultant lobbyist is someone who lobbies on behalf of someone else apart from their own company. Theoretically, I suppose it is possible to imagine a consultant lobbyist all of whose income comes from one external client but the majority of consultant lobbying firms provide assistance, advice and lobbying for a large number of clients. That is the industry with which we are all familiar and with which those of us in government often interact. That is the distinction we make.
Lord Norton of Louth
My Lords, before the noble and learned Lord, Lord Hardie, responds, my noble friend has really not addressed the distinction between those who do the activity and the activity itself. The Government are supposed to be trying to provide transparency about the activity, not simply listing those who may engage in it—in this case, only some who engage in it.
The noble Lord, Lord Campbell-Savours, referred to what I said at Second Reading about what is in effect an alternative to this rather clunky mechanism being proposed by the Government. What I was proposing gets fairly comprehensively at the activity of who is lobbying on each measure that the Government bring forward. The noble Lord, Lord Campbell-Savours, may wish to note that my Amendment 115 is intended to get at that. It is an alternative to what the Government are proposing and it would actually deal with that particular problem. My noble friend may wish to bear that in mind in responding to the amendments because I am not sure he has established that there is a need for this part of the Bill, certainly not compared with the alternative that I am putting forward, which actually gets at the nub of ensuring transparency of lobbying.
Lord Campbell-Savours
If I might add to that, particularly if there are only 350 registrations.
Lord Hardie
I am grateful to noble Lords for their contributions to this short debate and to the Minister for his reply.
To answer the point raised by the noble and learned Lord, Lord Mackay of Clashfern, the definition of professional has been slightly widened over the years. I imagine that those who undertake lobbying activity for a living would probably prefer to be called a profession rather than a trade. Therefore, those who lobby, whether they are lobbying as employees on behalf of employers or as consultants, might be described as professional lobbyists.
As the Minister pointed out, consultant lobbyists might well have only one client, although that might be a rare case. Indeed, the Bill itself recognises that the consultant is a person who,
“makes communications … on behalf of another person or persons”,
so the singular is certainly envisaged.
I am grateful to the Minister for his response and want to reflect on his comments about charities and the exemptions—if they are exempt. I note that he said that he is open to further discussion and that the Government will look in response to the noble Lord, Lord Wigley, at possible further extensions without further legislation. Those matters ought to be and will be explored between now and Report. I may come back at Report with a more focused amendment, but, in the mean time, I beg leave to withdraw the amendment.
Lord Wallace of Saltaire
My Lords, I will first answer some of the specific questions raised. I reassure the noble Lord, Lord Rooker, that Part 4 will be taken in Committee after Part 2, as is logical in the Bill.
The noble Lord, Lord Kerr, suggested that the Diplomatic Service is not part of the Civil Service. When I was a young academic people talked about the Home Civil Service as opposed to the Diplomatic Civil Service, which I understood was the overseas Civil Service.
Lord Wallace of Saltaire
Both of those services were as opposed to the military service—and I am not sure that I would think of the noble Lord, Lord Kerr, as particularly military.
The noble Lord, Lord Aberdare, asked who needed to know. It is not Ministers who need to know primarily. Transparency is about the public being better informed, and campaigning groups and civil society organisations making the information easy to obtain.
The noble Lord, Lord Rooker, said that perhaps if the information was easier to obtain we would not have newspapers any longer claiming that they had discovered such and such. As I listened to him, I recollected that yesterday in the Daily Mail, I think that I read the same “We have discovered” story for about the third time in about four years. Newspapers have a tendency to claim that they have discovered something that was all there already. Indeed, many years ago when I criticised the financial services industry in the Channel Islands, the local press announced that it had discovered that I was a French spy. Its evidence for this—that my wife and I had both been decorated by the French Government—came from that deeply obscure publication, Who’s Who. I am sure the press will go on “discovering” things that could already have been found out easily. Again, that is the way the press behave.
As I have listened to this debate, I have been thinking about the debate we had in the Cabinet Office about the mistake previous Governments made in going for really grandiose IT projects, trying to put absolutely everything into what they were doing and eventually coming unstuck. The Cabinet Office has now decided that incremental change in IT is easier to control. If we are moving towards transparency we have to be careful that we do not say we want absolutely everyone to be included. The best can be the enemy of the good here. The first target is lobbyists rather than every single representative of government that they meet in all circumstances. The definition of who they meet in government was adopted as “those within government who now have to publish their diaries: their lists of whom they meet”.
Amendment 3 from the noble Lord, Lord Campbell-Savours, in many ways stands on its own. We need to think about it in a different context from the others here. Other amendments extend the register to parliamentarians, Ministers, Permanent Secretaries, other civil servants, special advisers, all Members and staff of Parliament, all non-ministerial departments, parliamentary private secretaries and so on. We are talking about, I suspect, between 15,000 and 20,000 people. There are 5,000 members of the senior Civil Service—Permanent Secretaries, directors general, directors and deputy directors. The figure in my head for the number who work in Parliament is more than 6,000, and then we have to include non-ministerial departments. How fast and how far we go certainly needs to be considered.
Lord Rooker
There is an organisation in the Civil Service that they all want to belong to—the Top 200. It is an official classification. The figure the Minister has just given for the kind of people who will be covered as the decision-makers and opinion formers is preposterous. I am not saying it is limited to 200, but within the Civil Service being a member of the Top 200 means you are there. It is not just the Permanent Secretaries but the directors general as well. You are not talking about thousands. They are the chief executives of some of the departments I referred to.
Lord Wallace of Saltaire
I take that. I was about to say that the issue of proportionality—how far we go—is a really difficult one here. However, if one is talking about who gives you access to a Minister perhaps we need to include diary secretaries for example. Who we include and who we do not is itself a matter of some difficulty.
Lord Wallace of Saltaire
Perhaps we need to discuss between Committee and Report which definition of senior civil servants Ministers and various Members of the House wish to adopt. I was adopting my own understanding of the senior Civil Service, which is the 5,000 I mentioned.
I will be interested to hear from the Opposition whether they also need to be included in this. Again, that is something that perhaps the Opposition Front Bench and the Government should usefully discuss between Committee and Report. I come back to say that the best can be the enemy of the good in requiring too many people to be brought within the context of this Bill. I take the very powerful speech from the noble Lord, Lord Rooker, about non-ministerial departments to mind. I also take some of his other points about particular senior civil servants. We will consider all these points and, in that light, I trust that the noble Lord will be willing to withdraw his amendment.
Lord Norton of Louth
My Lords, I do not understand my noble friend’s point about numbers. It is irrelevant in the sense that it is the consultants who are doing the lobbying to those people. It does not matter how many they are. It is merely the fact that they are engaging with some of them that requires them to register.
Lord Wallace of Saltaire
The register is of lobbyists. If we wish to include in the register every single Member of Parliament and others with whom they interact, we would get into a very complicated business. The question is who you wish to define as a consultant lobbying—as Amendment 3 says—to government.
Lord Tyler
My Lords, Amendment 78, tabled in my name and those of my noble friends, attacks—if that is the appropriate verb to use—the same point that the noble Baroness, Lady Hayter, has addressed, but in a slightly different way. We have heard a lot about the need for a statutory code of conduct for lobbyists both in the debate on Second Reading and, to some extent, in our debates today. However, the Bill is not about regulating lobbying but about trying to make lobbying more transparent. My own amendment maintains that spirit. There is a genuine concern that the Bill, by setting out in law some of the things that consultant lobbyists must do, could imply by omission that there are some things that we do not expect them to do. Hence, it is important to make some reference to the existing codes.
I confess that although I have not been involved with the lobbying industry for many years, when I had a real job before politics, I headed up a public affairs consultancy. In those days I do not think we even referred to it as lobbying. It was thought to be simply informing decision-makers about important issues and so on. I can see noble Lords opposite observing that there is hardly any distinction between the two activities. However, I appreciate very much the extent to which the lobbying industry has improved its transparency and its codes of conduct, of which I understand there are several. It is important that we should refer to the voluntary codes of conduct that various professional associations and their membership bodies have now signed up to.
The UK Public Affairs Council has said that,
“the range of membership bodies, trade associations, companies and other organisations involved to a lesser or greater extent in lobbying makes a single self-regulatory code unobtainable for the foreseeable future”.
That is a realistic position, but surely it does not mean that we should ignore what is already in place. UKPAC went on to say that,
“effective self regulation can nonetheless be achieved if everyone in a business or employed in a capacity which involves lobbying subscribes to an appropriate Code of Conduct”.
The Bill can only do that for consultant lobbyists because, as we have heard, it is not about a telephone directory-style register of everyone who ever lobbies. However, it should ensure that those whom it does cover are encouraged to continue their compliance with existing voluntary codes by requiring that they are transparent as to whether they do so or not. All concerned—those on the receiving end of lobbying, those who engage these services to lobby on their behalf, the general public and we as parliamentarians representing them—would then be aware of whether they have subscribed to the voluntary codes. Our amendment deals simply with that objective.
Lord Wallace of Saltaire
My Lords, the Opposition’s proposed amendment would prohibit lobbying unless the person had signed up to the registrar’s code of conduct. Their new clause would require the registrar, after consultation with relevant stakeholders, to produce a code of conduct which would include a provision that any inappropriate relations between lobbyists and parliamentarians were strictly forbidden. Amendment 108, which has been grouped elsewhere, would enable the registrar to impose civil penalties for breaches of the code of conduct. The Government are not persuaded that a statutory code of conduct is appropriate, and I suggest that the proposed amendments are based on a miscomprehension of the role of codes, either statutory or voluntary, in the regulation of lobbying. The Opposition appear to suggest that such codes are in existence and are operating successfully in other jurisdictions. Perhaps I may draw their attention to international examples of statutory codes of conduct, of which there are very few.
The Australian statutory code of conduct establishes a statutory register of consultant lobbyists and prohibits the lobbying of government on behalf of a third party without registration. That is exactly what this Bill provides for and, if that is what the Opposition are seeking to achieve, the amendments are not needed. In Canada, the Lobbyists’ Code of Conduct promotes three principles—integrity and honesty, openness and professionalism—and requires that lobbyists act transparently, that they respect confidentiality, and that they avoid conflicts of interest. That code is not a statutory instrument and there is no sanction for non-compliance other than a report from the registrar outlining the lobbyist’s misdemeanour. That is appropriate, because determining non-compliance with these very broad principles is a challenging, uncertain and subjective process.
We have not been able to identify any international precedent for the type of code the Opposition propose. Indeed, even the overwhelmingly high-regulation system in the USA, which requires a 900-plus page handbook to aid compliance, does not incorporate a statutory code of conduct of this sort. Perhaps the fact that the Opposition have been able to propose just one provision for their code of conduct illustrates why such an approach has not been adopted elsewhere.
The Government recognise the industry’s efforts to improve lobbying practice by introducing its own codes of conduct and are confident that that will continue. Those codes promote the ethical behaviour that is essential to the integrity and reputation of the lobbying industry. The codes contain laudable principles and good practice guidance, but their translation into statute does not seem sensible or feasible.
Amendment 78, in the name of my noble friend Lord Tyler, would instead amend Clause 5(4) so that regulations could be made to enable lobbyists to include details in their information returns of the voluntary codes of conduct that they had subscribed to; but no other additional types of information unrelated to voluntary codes of conduct could be so specified. My noble friend appears to agree with the Government that a statutory code of conduct is not necessary and that the existing voluntary codes should be endorsed and promoted. I am happy to tell my noble friend that the Government are committed to ensuring that the statutory register complements the existing self-regulatory regime.
A specific reference on the statutory register to the voluntary code to which a lobbyist has subscribed is an interesting proposal that the Government are willing to consider further. However, we are not persuaded that the power under Clause 5(4) should be restricted so that it could be used to make regulations only in relation to voluntary codes, which is the—perhaps unintended—effect of my noble friend’s amendment. We will consider this further. Meanwhile, I urge the noble Baroness to withdraw her amendment and my noble friend not to press his.
Baroness Hayter of Kentish Town
I fear that that reply was written before I made my speech. I made it very clear that I do not want a statutory code of conduct. The reply that the Minister gave was about why we should not have a statutory code of conduct: I agree, and we did not ask for it. What we are asking is for the registrar to endorse a code of conduct. I assume that it would be based either on the format of five principles that other professions use or maybe on the existing voluntary code. That would be a matter for the registrar, but I very clearly said that we did not want a statutory register.
I am delighted that the noble Baroness, Lady Hanham, is in her seat as she will remember very well discussing whether the regulation of letting agents should be statutory or—as it is now—voluntary. The letting agents had a very good voluntary code but if you did not obey it and were taken to the ombudsman, you could simply say, “I will leave the code, walk off and not remain signed up to the voluntary code”. All the good boys were signed up to the code but—guess what—the cowboys were not. If anyone was caught breaking the code they just resigned. The noble Baroness did at one point ask me to stop thanking her for this but I will never stop doing so because, through her work, we agreed the amendment that makes it compulsory for letting agents to belong to an ombudsman scheme. As part of that, there will be a code, overseen by the ombudsman, by which will be judged any misbehaviour by letting agents.
Effectively, that is what we are asking for here. Once you have a register of consultants, they should have to sign up to some code of good practice or ethical principles against which it will be judged whether they should be taken off the register. I am not asking for a statutory code, although it was very nice to hear the Minister make a speech against it. What we want is, if you like, a blessing to the voluntary code that says more than simply, “Please read it”. If you are on a register, I imagine it would become quite a kitemark. People would say, “I am a registered consultant lobbyist” —or, if our amendment were passed, a proper lobbyist, not just a consultant. It would be a kitemark to be on the register. However, if it implies no requirement to keep to an ethical code or a code of good behaviour, the kitemark could itself be quite misleading.
We will definitely return to this and I hope that the Minister has heard what we are really asking for: not a statutory code but a requirement that the registrar should have a code that anyone on the register would have to sign up to. I will leave that until Report for the moment—whenever that will be—and beg leave to withdraw the amendment.
Lord Wallace of Saltaire
My Lords, I thank noble Lords, in particular the noble Lord, Lord Rooker, for the detail of the various amendments. I will take them all back and consider them. First, on Amendment 10, it was absolutely the intention of the Bill to capture consultant lobbyists who lobby as a profession, not the neighbour who is lobbying for a friend about a housing development, or whatever, for no payment. That is part of informal campaigning, which is different from the professional consultant lobbyists with whom Part 1 is intended to deal.
I clearly need to have a long tutorial with the noble Lord, Lord Rooker, and I promise that I will give him a good deal of my time, but I hope that that gives him some comfort. I also take the noble Lord’s point, which I had noted in the committee report, about not only direct lobbying but the sort of indirect lobbying that comes through professional advice and the danger that public affairs companies will retreat from saying that they are lobbying to saying that they are merely providing advice. We clearly need to ensure that we cover that.
On the question of VAT, the Government were looking for a simple means to exclude the very small fry from the Bill. It was felt that whether or not a business has a large enough turnover to have to register for VAT was the simplest and easiest method to exclude the small fry and include the large ones. That is the intention. If the noble Lord has a better way to do it, I look forward to discussing it, but there is nothing more intended by that provision.
The noble Lord, Lord Campbell-Savours, had an interesting thought about whether communications include interventions. I am advised that interventions are communications, but, again, we will consider in detail the subtle differences that may occur. I am certainly advised that it is established practice in legislative drafting that the now ubiquitous nature of electronic communications is accepted as being included in the term “writing”, except in cases where the context specifically demands otherwise. The Bill therefore makes no distinction between a handwritten note, a typewriter-produced letter—if such still exist—a dot matrix-printed telegram, a fax, an e-mail, a text message, a personal tweet or a BlackBerry messenger conversation, so I assure the noble Lord that the amendment is not necessary.
On the inclusion of “European” in the Bill, I understand that the intention is that lobbying the UK Government in respect of European legislation will be captured. Our understanding is that lobbying with respect to government policy, including government policy towards the European Union, is covered by the Bill but we will look at that to make sure that it is fully covered.
Baroness Royall of Blaisdon
My Lords, that is very welcome but would that include our officials who are working in Brussels?
Lord Wallace of Saltaire
Let me take that back and be absolutely sure. We are all conscious that, as has been said, Brussels is the seat of lobbying on the largest scale, after Washington. We need to make sure that the interaction between those huge American law firms based in Brussels, which have large lobbying activities, and others is not excluded from the Bill. I will certainly take that back.
Lord Kerr of Kinlochard
I am grateful for what the Minister says. The other point made by the noble Baroness, Lady Royall, was about level. When you are looking at UKRep and thinking about Brussels, it would be best to think not just about the Permanent Representative and the Deputy Permanent Representative, because in many ways those are figureheads. The real work is done in working groups by quite junior public servants. Some are diplomats and some civil servants but they are often in their early 30s and, in those working groups, they are doing serious legislation. They certainly are beset by lobbyists from outside all the time, so if you are going wide then you need to look down in seniority a bit, well below the top brass.
Lord Wallace of Saltaire
My Lords, in answering these amendments I set out to avoid reading out any of the note prepared beforehand, in order to satisfy the noble Baroness, Lady Hayter. However, let me read out the paragraph I have on that. I can assure noble Lords that any lobbying of the UK Government in relation to European legislation is indeed captured by the Government’s provision at Clause 2(3)(a), which captures communications in relation to government policy. Communications in relation to the development, adoption or modification of the Government’s policy on any element of European legislation would therefore be captured by the definition of lobbying as drafted.
The overlap between what happens in Brussels and London is, I appreciate, a slightly more subtle issue than that. The question of what happens when everyone is abroad is a constant of globalisation, and one which the British Parliament may find it a little difficult to cover entirely by legislation.
Lord Kerr of Kinlochard
The question is of how policy develops in response to a development in the negotiation. Policy is not an artefact made in London, whole and entire, which stays like that all the way through a negotiation. Policy has to take account of what others do or what amendments emerge from the European Parliament. The process of legislation in Brussels is very much ongoing and the key figure is often the young man or woman who is sitting in the relevant working group. Yes, they will be contacting London but they will also be contacting their opposite numbers. The chances are that most of the decisions on how we react in a war of movement will be taken on the ground, without reference up to Ministers. Of course the Ministers will see every night how we are getting on but, over there in Brussels, the lobbyists are very close to this. If you are to take an interest in contact between lobbyists and UKRep, do not cut it off at the Permanent Representative and Deputy Permanent Representative.
Lord Wallace of Saltaire
My Lords, the political process flows through a whole series of meetings. Capturing every single dimension of the political process may be beyond the wit of man or woman to achieve. We are looking here at making lobbying more transparent and capturing the main actors involved. The Bill specifically includes the lobbying of Ministers wherever they are: in London, Brussels or Washington. How far down the chain of officials we go, outside the United Kingdom as well as inside it, is a matter that we need to consider under the issue of proportionality and how far we think we need to cover absolutely everything.
Perhaps I may turn to Amendment 30, in the name of the noble Lord, Lord Rooker, which is on note-taking. Perhaps recording rather than note-taking is what we might now be considering. As the noble Lord said, the question of how far one can legislate for good practice under all circumstances is very difficult but, again, I will take that back and discuss the matter further with him.
The noble Lord’s Amendment 51 takes us back to the definition of directly employed lobbyists versus consultant lobbyists. As I said on a previous grouping, Part 1 is intended to deal fundamentally with consultant lobbyists—lobbyists for hire—rather than those directly employed in the public affairs departments of multinational companies. From my own experience, perhaps I may say that companies and banks based in London often operate directly with government and we know who they are. Consultant lobbyists are often representing companies based abroad, foreign Governments or others who are not used to knowing how the British political system works. That is one reason why they come to consultant lobbyists, who are specialists. They advise them and then often lobby for them. That is part of what we want to catch in a globalised political system where non-British actors, so to speak, are taking an active part in our political process.
Having, I hope, answered some of the points raised and repeated that I am open to further conversations off the Floor with those who have tabled these amendments, I invite the noble Lord to withdraw his amendment.
Lord Rooker
My Lords, I thank the Minister very much for his response. What the noble Lord, Lord Kerr, said in his intervention regarding Brussels is absolutely right. It so happens that about 95% of the legislation affecting food in this country, and which is implemented by the government department—the Food Standards Agency—is actually European. It starts in Brussels. At the point when I joined the FSA in about 2009, my predecessor had already decided to embed someone in UKRep because we were too often too slow. If you are not there when the conveyor belt starts, you cannot influence it and we were too far down it.
Look at the evidence of what happened with the way that the food information regulations were dealt with in Europe. There was massive lobbying against some of the things that we wanted to do, such as traffic-light labelling. I will not criticise people from other countries but the international lobbying was massive. We got a first-class individual, exactly as described by the noble Lord, Lord Kerr. I will not name them. There are negotiations and meetings while they are trying to get this stuff ready for the Parliament, which has more interference now—I meant more contact and should not have said that; parliamentarians should interfere but the EU Parliament has a different role now in this area—but there is no way that you would get all that detail back for Ministers and perm secs. The decisions would be done, so it is on a different level completely.
I wanted to reinforce that from my own little window of experience from the last few years. I beg leave to withdraw Amendment 10.
Lord Norton of Louth
I add my support to my noble friend’s amendment, but it does not go far enough. Partly for the reason he just mentioned, I would be more ambitious, along the lines indicated by the noble Lord, Lord Kerr. There is no reason why you cannot have a rolling publication after the event excluding, following the point made by the noble Lord, Lord Martin, the venue because that is not really germane. It is the substance of the discussion that matters. I would be more ambitious than my noble friend Lord Tyler.
As the noble Lord, Lord Campbell-Savours said, the amendment links to what I am arguing. It moves us in the right direction, so I am fully in support; it is just that I want to go further because this is a database of meetings between Ministers and external organisations and we need to extend it in terms of who is being seen. Just confining it to Ministers creates problems, so we need a larger database, or we certainly need to be able to identify those who are being lobbied.
Lord Wallace of Saltaire
My Lords, I am fascinated to hear this great outbreak of revolution in transparency. We thought that we were set out on a constructive step forward on transparency. I am not sure that I want all Ministers’ and civil servants’ diaries published the day after they meet anyone, which I think is what the noble Lord, Lord Norton, was beginning to suggest.
I will try to answer the various probing amendments. A number of them, starting with Amendment 54, are about stiffening the independence of the registrar. Amendment 54 would require the Minister to consult with the Political and Constitutional Reform Committee before appointing the registrar. I am not aware whether that has yet been requested by the committee itself, but it is an interesting proposal.
The amendments of the noble and learned Lord, Lord Hardie, would prevent any person who had been a civil servant or a political adviser in the previous five years being appointed registrar. This is also thoughtful, and designed to provide assurance regarding the independence of the registrar which, of course, the Government are entirely committed to establishing and maintaining. Under the Bill, the registrar will be appointed according to the public appointment principles of open and fair competition and the Minister will be able to dismiss the registrar only where they are satisfied that there are reasonable grounds that he is unable, unwilling or unfit to perform the functions of his office. If thought unreasonable, any such decision by a Minister could be challenged in the usual way, by judicial review. The registrar will be independent of the lobbying industry and the Government, and will have a clear remit to operate independently of the lobbying industry and the Government.
The noble and learned Lord, Lord Hardie, seeks to extend the positions that will not be eligible for appointment as registrar to capture those officials who would be required to submit information to him or her under his new clause. The Government are not persuaded of the case for the noble and learned Lord’s additions, and would therefore resist this amendment.
The Government recognise the importance of ensuring that the registrar is independent. We are confident that our proposals secure that, but are grateful for these suggestions and will of course consider whether they should be pursued further.
Amendment 63 has attracted a considerable amount of support. It would require that, in addition to the statutory register of consultant lobbyists, the registrar would be required to keep and publish a central database of ministerial meetings with external organisations.
Lord Campbell-Savours
When the Minister responded to the amendment of my noble friend Lady Hayter of Kentish Town, I heard him say that the Government would consider the amendment; he will find that that is what he said in Hansard. If that is the case, can we be assured, then, that the chairman of that committee in the Commons will be consulted so that there can be discussion in the committee about to what extent it thinks that it is a realistic possibility for it to carry out that function, so that Ministers at least have the view of the committee when they make a judgment as to whether to accept my noble friend’s amendment?
Lord Wallace of Saltaire
My Lords, I am not going to give that commitment now because there are larger questions about how many public appointments should be overseen by Commons committees. That is a much broader issue than this appointment alone. I will take that back and consult with others but, as I said earlier, the Government are not currently persuaded of these amendments.
I return to the central database issue, which raises some large issues about the role of the registrar and whether or not ministerial appointments should be handed over, so to speak, for collation by an independent body associated with the Government. We have listened to those who have asked that the reports be available from one central location and have responded by migrating all meeting reports to gov.uk, where they can be readily accessed as both PDF and open-format CSV files. We have responded to those that suggested that the timeliness of reporting could be improved by committing to publishing all meeting information in the quarter immediately after that in which the meeting took place. I note the pressure to go further. The Government are committed to the principles of open government and we continue to investigate how we can further improve the value of the information that we make available to the public. However, we are not at present persuaded that we should be going as far as the noble Lord suggests.
Opposition Amendment 74 would require the registrar to submit an annual report to the PCRC on the operation of the register. Again, this is not a provision that I understand that the committee itself has sought—perhaps because it recognises that the registrar is already required by the drafting to submit their annual accounts to Parliament and that the committee will be perfectly entitled and able to call the registrar to provide evidence at any time. I would have thought that that would be enough to hold them to account.
The new clause of the noble Lord, Lord Norton, is by far the most ambitious amendment. It would require the Government to publish alongside any statement on a matter of policy, legislation or a contract or grant, records of any oral or written communication directed to a Minister, the Minister’s parliamentary private secretary or special adviser, and any departmental civil servants relating to that matter. The noble Lord, Lord Norton, provides exemptions from the requirement to publish for commercial or security-sensitive material. This is certainly an intriguing proposal but, I suggest, neither a feasible nor proportionate one. At a time when our focus should be on ensuring more efficient and effective government, a statutory requirement that every oral or written communication received by every civil servant, special adviser, PPS or Minister be recorded, collated and published in parallel with any relevant statement would appear ill advised. It would of course be an absolute goldmine for an academic researcher.
Not only would such a system impose an unwelcome bureaucratic burden on the public sector, it would likely impose information overload on the members of the public—perhaps even academic researchers. The volume of information that the Government would likely be required to publish in relation to a Budget Statement or a Queen’s Speech would be so overwhelming that any transparency value would be entirely undermined by the inaccessibility and quantity of the information. I think it was the noble Lord, Lord Rooker, who talked about “hiding in plain sight”. When there is too much information provided, it is sometimes hard to weed out what is crucial.
The Government’s objective is to provide the public with valuable information which they can utilise to scrutinise our actions and hold us to account. The focus should be on the value of information and the insight it can provide, not on the volume. The Government already publish unprecedented amounts of information about decision-making, and the register is intended to extend that transparency to those who seek to influence decision-makers. It is already standard practice that responses to government consultations are published in full and in summary, and if the public require further information about certain policies or decisions then they have a right to request that information using the Freedom of Information Act.
I recognise that the noble Lord is urging the Government to extend our information publication regime a good deal further. We will continue to consider how enhanced transparency can best be achieved. I suggest, however, that a statutory requirement of this nature is not the most appropriate manner in which to do so. I therefore resist that amendment, and urge the noble Baroness to withdraw it.
Baroness Hayter of Kentish Town
My Lords, this has turned into a more interesting and wide-ranging debate than we had anticipated. There are two parts to it. One is about this database. On the idea that there is too much for us and therefore the Government do not want to put it out there—they should try harder than that. The House knows I have a certain thing about alcohol misuse. I just want to know how many drinks companies lobbied the Government about tax before the Budget. It ought to be possible to know that. I do not want all the other submissions. Someone who is interested in the environment or any other issue will just be focused and want to drill down to one thing. If it is a good system, an awful lot of noise out there will not matter.
When I am not spending my time here at 7.30 pm I am quite often at the National Theatre. You can go there with a tiny card and you have ordered perhaps four different lots of tickets for different nights and different theatres. You put in your little card and you get them all back. Its computer system can do it very easily. I cannot believe that it is beyond the wit of man—even men—to produce a similar system for this database, which is currently completely unsearchable. It is not, in the words of the Minister readily available. I have tried to search it, although I did not try for quite as long as the noble Lord, Lord Tyler—in future I will come to his office when I am trying to find this out. However, it is not searchable or rapid, and is therefore almost irrelevant, so late is it. I cannot see why it cannot be available the next day. If there was a will, there would certainly be a way.
Lord Wallace of Saltaire
From time to time Parliament does change the structure and the nomenclature of its committees. I think the Government would be a little hesitant to write the current structure of committees into legislation.
Baroness Hayter of Kentish Town
The words “relevant select committee” could be used.