(1 week, 2 days ago)
Lords ChamberMy Lord, I will speak to the amendment from the noble Lord, Lord Burns, and to my own Amendments 152A and 152B. In so doing, I congratulate the noble Lord, Lord Burns, on this amendment. I remember the debate we had at that time. There is no question about it: every side of the debate compromised. I remember Ministers from the other place telling us that we had to compromise and we had to make concessions that we did not feel were right. The deal was done, and the deal still holds.
The point made by the noble Lord, Lord Whitty, that we should do things in the round and in one is exactly right, rather than making this piecemeal change that the Bill proposes, if there are to be dramatic changes. I accept that times have moved on and that funding for the Labour Party is largely from individuals rather than from unions. None the less, if we are to make changes, then let us look at them in the round rather than observing the piecemeal change proposed in the Bill.
I have to correct the noble Lords, Lord Whitty and Lord Hendy. Companies cannot make donations to any political party without prior shareholder approval in the period of a year—not 10 years, but one year. That approval lasts only one year and has to be refreshed at the annual general meeting. Noble Lords are encouraged to look at the accounts of any company—certainly a public company—to see that that is the case.
That is true, but it does not require a ballot of individual shareholders. There is a vote once a year, or whenever, so that a donation can be made at the annual general meeting. It is not a ballot.
(9 years, 3 months ago)
Lords ChamberMy Lords, although I welcome the Government’s movement on this, the original draft of the clause was, frankly, unworkable. This is definitely a step in the right direction, although my noble friend Lord Collins and the noble Lord, Lord Stoneham, require answers to their questions.
Before the Minister replies, I will point out something which I have mentioned at earlier stages in the passage of the Bill. In the five years to 2015, £64 million was given by trade unions in political donations, but £80 million was given to various parties—predominantly the Conservative Party—by other organisations. What steps is the Minister taking to ensure that there is a parallel requirement for reporting for all the other organisations which make political donations?
I welcome Amendment 1. The Select Committee actually said there is a “lack of transparency” over how political funds are spent. Such transparency would assist union members in having an informed choice over whether to sign up to paying a political levy. The amount of money in political funds varies from £14.8 million in reserves for Unite to £8.2 million in UNISON and so on. While I welcome Amendment 1, which seeks to categorise payments, Amendment 2 would take away the whole point of the transparency that would allow union members to see how their money is spent when it is not being spent directly on political parties.
The move to transparency is taking place throughout all areas of our lives. In the Conservative Party manifesto—indeed, it is actually happening—the Government committed to disclose online any expenditure over £25,000. Given the amount of money the Government spend in a year, it does not seem unreasonable to look for similar transparency on union political spending.