Trade Union Bill

Debate between Lord Beamish and Greg Mulholland

Ping Pong: House of Commons
Wednesday 27th April 2016 Commons Chamber

[Greg Mulholland]

I will not detain the House for long, as it has been a long day. I just want to remind the House that in this place it has consistently been the Liberal Democrats who have called for a proper reform of the party funding system. We have done that fairly and equitably, looking at the issues relating to funding from big business and from wealthy private donors, as well as the issues with trade union funding. It has been frustrating, even in my 11 years in Parliament, that that has been frustrated at times by the Conservative party and at times by the Labour party, with both acting in their own self-interest, seeking to preserve their own sources of funding while seeking to deal with the other’s. The Bill is still clearly doing that today and it is the wrong approach.

[Mr Kevan Jones]

I accept the hon. Gentleman’s point, but his party is not clean on this, given the money it accepted from Brown, who was found to be a fraud. So I do not think the hon. Gentleman should be lecturing others about transparency in party funding.

[Greg Mulholland]

I respect the hon. Gentleman, but that is a poor comment, given that I am talking about the party funding system. As he knows full well, issues have arisen for all parties with various donations that were accepted in a reasonable way and later found to have question marks about them. That is one reason we need to deal with this, but it is about the system and so his comments do him no favours on this occasion.

I warmly welcome the sentiments expressed by the hon. Member for Edinburgh East (Tommy Sheppard), another Member of a party outside the two-party system that we have had in the past, but which is now gone in British politics. He said that although it is right that trade unions use their funding for political campaigning to stand up for the rights of their workers and important rights for British people, that is not the same thing as simply funnelling money to the Labour party to win elections.

I have a very interesting perspective on the matter. During my first five years as the proud, new, and perhaps in some ways slightly naive MP for Leeds North West, I found myself courted regularly by my local trade unions. I got on with them very well. As for their agenda, they told me consistently how disgusted they were with what Tony Blair’s new Labour Government were doing to workers’ rights and trade unions, and sought my Liberal Democrat support. I was only too happy to give that support, and to work with them.

I subsequently became lead member of Leeds City Council, and had direct and very strong relationships with my local trade union representatives—but then came the 2010 general election, and despite all that, and despite their disdain for Tony Blair and new Labour, they paid for billboards to go up in my constituency saying “Please vote for your local new Labour candidate”. That is not what I think hard-working trade union members paying into a political fund expect, and I think that it should be looked into by the trade union movement and by the Labour party.

Ultimately, we need to move to a system of transparency. I agree with the hon. Member for North Durham (Mr Jones) in one respect: he made the sensible point that we should be doing all this together rather than through what is clearly a cynical Bill, and indeed a cynical attack on the main source of funding for the Labour party. I do not support that, although I have spoken of the need for a greater differential between funds for the Labour party and funds for political campaigns that may, from time to time, be supported by other parties—indeed, potentially all parties, and even Conservative Back Benchers.

We also need more transparency when it comes to the very shady organisations that funnel money from companies and private donors and pass it on without always revealing who those donors are. That arrangement is clearly unacceptable and needs to be reformed, but, again, all of us—all the parties in the House—must reform it together. The Bill does not provide for that, but we will continue to do it.

I am proud that it was the Liberal Democrats who pushed for a House of Lords Select Committee to lead recommendations on party funding reform, and that it was that Committee which twisted the Government’s arm so that they came up with these U-turns. We think that that is sensible, as it saves the trade unions the clearly unfair and unnecessary administrative burden of having to contact all their existing members who signed up on the existing basis.

I look forward to continuing this discussion in the right place and in the right framework—not in the context of this divisive Bill, but in the context of proper cross-party discussions about how we can finally, and properly, reform party funding as a whole. We will participate fully in those discussions, and we look forward to working with Members in all parts of the House.

Lords amendment 1 agreed to.

Lords amendments 3 to 6 agreed to.

Lords amendments 7 and 8 disagreed to.

Government amendments (k) to (p) made in lieu of Lords amendments 7 and 8.

Lords amendments 9 to 16 and 18 to 29 agreed to.