Alex Salmond
Main Page: Alex Salmond (Scottish National Party - Gordon)Department Debates - View all Alex Salmond's debates with the HM Treasury
(9 years, 5 months ago)
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The Chairman of Ways and Means (Mr Lindsay Hoyle)
We begin with amendment 16.
Alex Salmond (Gordon) (SNP)
On a point of order, Mr Hoyle. I could not help noticing in your excellent selection of amendments that you have selected in the second group Government amendment 55, which, as I see from my amendment paper, is a starred amendment. That is not surprising, since it was tabled, I understand, at 9.35 pm last evening in a disorganised, spatchcock, humiliating climbdown. I accept the Government’s humiliating climbdown with good grace, but how usual is it for a starred amendment to be called and, presumably, divided on in Committee of the whole House?
The Chairman
The good news is that I was in charge of selection, and it is well within order. It is unusual, but that is where we are at. We will now continue, because I know that the hon. Gentleman wants to get us under way.
Clause 1
The referendum
Alex Salmond
I beg to move amendment 16, page 1, line 4, at end insert—
‘(2) The Chief Counting Officer shall declare whether the result of the referendum is that a majority wish the United Kingdom to leave the European Union.
(3) The Chief Counting Officer may declare that a majority wish the United Kingdom to leave the European Union only if—
(a) a majority of total votes cast in the referendum in the United Kingdom are against the United Kingdom remaining a member of the European Union, and
(b) a majority of the votes cast in the referendum in each of England, Scotland, Wales and Northern Ireland are against the United Kingdom remaining a member of the European Union.”
This amendment imposes a double majority requirement for withdrawal, which would have to be supported by a majority the whole of the UK and by majorities in each of its four constituent parts.
The Chairman
With this it will be convenient to discuss the following:
Amendment 49, page 1, line 7, leave out “31 December” and insert “1 July”.
The amendment would require the referendum to take place before 1 July 2017.
Amendment 50, page 1, line 8, leave out “2017” and insert “2016”.
The amendment would require the referendum to take place before 31 December 2016.
Amendment 4, page 1, line 8, at end insert—
‘(3A) No later than ten weeks before the date on which the referendum is to be held the Secretary of State must lay before both Houses of Parliament an independent report by the Office for Budget Responsibility on the implications for the sustainability of the public finances of the United Kingdom leaving the European Union.”.
The amendment would require the Secretary of State to publish, ten weeks before the referendum, a report by the OBR on the consequences of the United Kingdom leaving the European Union.
Amendment 5, page 1, line 8, at end insert—
‘(3A) No later than ten weeks before the date on which the referendum is to be held the Secretary of State must lay before both Houses of Parliament a report on the consequences of the United Kingdom leaving the European Union for each ministerial departments’ responsibilities.”.
The amendment would require the Secretary of State to publish, ten weeks before the referendum, a report by each Secretary of State on the consequences of the United Kingdom leaving the European Union for their areas of ministerial responsibility.
Amendment 6, page 1, line 8, at end insert—
‘(3A) No later than ten weeks before the date on which the referendum is to be held the Secretary of State must ask for and lay before both Houses of Parliament any assessment made by the Bank of England on the consequences of the United Kingdom leaving the European Union.”.
The amendment would require the Secretary of State to publish, ten weeks before the referendum, any assessment by the Bank of England on the consequences of the United Kingdom leaving the European Union.
Amendment 46, page 1, line 8, at end insert—
‘(3A) No later than ten weeks before the date on which the referendum is to be held the Secretary of State must lay before both Houses of Parliament a report by the Office for Budget Responsibility on the consequences for the Transatlantic Trade and Investment Partnership of the United Kingdom leaving or remaining a member of the European Union.”
The amendment would require the Secretary of State to publish, ten weeks before the referendum, a report by the OBR on the consequences for TTIP of leaving or remaining a member of the European Union.
Amendment 47, page 1, line 8, at end insert—
‘(3A) No later than ten weeks before the date on which the referendum is to be held the Secretary of State must lay before both Houses of Parliament a report on the consequences for negotiations on the Transatlantic Trade and Investment Partnership of the United Kingdom leaving or remaining a member of the European Union.”
The amendment would require the Secretary of State to publish, ten weeks before the referendum, a report on the consequences for negotiations on TTIP of leaving or remaining a member of the European Union.
Amendment 54, page 1, line 8, at end insert—
‘(3A) Before appointing a day under subsection (2) the Secretary of State shall lay before both Houses a report on materials which any Minister of the Crown, government department or local authority or any other person or body whose expenses are defrayed wholly or mainly out of public funds or by any local authority intend or expect to publish in the period of 28 days ending with the date of the referendum that—
(a) deals with any of the issues raised by any question on which the referendum is being held;
(b) puts any argument for or against any particular answer to any such question; or
(c) is designed to encourage voting at the referendum.”
This amendment requires the Government, prior to setting a date for the Referendum by regulations subject to the affirmative procedure, to publish a report on what publications which would normally be prohibited by Section 125 of the Political Parties, Elections and Referendums Act 2000 the Government intends or expects to publish in the four weeks before the referendum.
Amendment 11, page 17, line 37, in schedule 1, leave out paragraph 25 and insert—
‘25 (1) Section 125 of the 2000 Act (restriction of publication etc of promotional material by central and local government etc) applies in relation to the referendum during the referendum period with the following modification.
(2) Section 125(2)(a) of the 2000 Act has effect for the purposes of the referendum as if, after “Crown”, there were inserted “including ministers in the Scottish Government, the Welsh Government, the Northern Ireland Executive and Her Majesty‘s Government of Gibraltar”.’
The purpose of the amendment is to apply the “purdah” arrangements that govern ministerial and official announcements, visits and publicity during general elections to the campaign period before the referendum.
Amendment (a) to Schedule 1, leave out “modification” and insert “modifications”.
Amendment (b), at end add—
‘(3) Section 125(2) of the 2000 Act has effect for the purposes of the referendum with the addition of subsection—
“(e) advocacy on any issue having a bearing on the outcome of the referendum””
New clause 3—Restriction on publications etc—
‘(1) This section applies to any material, which—
(a) provides general information about the referendum,
(b) deals with any of the issues raised by the referendum question,
(c) puts any arguments for or against any outcome, or
(d) is designed to encourage voting at the referendum.
(2) Subject to subsection (3), no material to which this section applies is to be published during the relevant period by or on behalf of—
(a) the UK government,
(b) the House of Commons or House of Lords,
(c) the devolved administrations,
(d) any local authority,
(e) public bodies, or
(f) the European Commission and European Parliament.
(3) Sub-paragraph (2) does not apply to—
(a) existing material made available to persons in response to specific requests for information or to persons specifically seeking access to it, or
(b) anything done by or on behalf of—
(i) a designated organisation,
(ii) the Electoral Commission, or
(c) the Chief Counting Officer or any other counting officer, or
(d) the publication of information relating to the holding of the poll.
(4) In this paragraph—
“publish” means make available to the public at large, or any section of the public, in whatever form and by whatever means (and “publication” is to be construed accordingly),
“the relevant period” means the period of 28 days ending with the date of the referendum.
(a) A breach of the rules set out in this section, will be an offence.
(b) A person guilty of an offence under this section, is liable—
(i) on conviction on indictment, to a fine;
(ii) on summary conviction in England and Wales, to a fine;
(iii) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding the statutory maximum;
(iv) on summary conviction in Gibraltar, to a fine note exceeding level 5 on the Gibraltar standard scale.’
The New Clause prescribes a period of “purdah” in the four weeks before the referendum.
New clause 4—Referendum Fairness Board—
‘(1) There shall be a committee of privy counsellors, to be called the Referendum Fairness Board, whose duty is to consider any alleged breach of section (Restriction on publications etc) which comes attention of any of its members.
(2) Each of the following presiding officers for the time being may appoint any privy counsellor as a member of the board—
(a) the Speaker of the House of Commons,
(b) the Lord Speaker,
(c) the Presiding Officer of the Scottish Parliament,
(d) the Speaker of the Northern Ireland Assembly, or
(e) the Presiding Officer of the National Assembly for Wales.
(3) The Board shall prescribe its own rules of procedure, which must include procedures for—
(a) instituting legal action to interdict or injunct any further breach or repetition of an alleged breach, and
(b) drawing to the attention of the relevant prosecuting authority any serious or continuing breach of section (Restriction on publications etc).’
The New Clause provides for swift enforcement of the “purdah” rules which would apply under the linked New Clause in the four weeks leading up to the referendum.
Alex Salmond
There is a link of continuity between amendment 16 and the point of order that I made—that the theme should be one of respect. There has been a great deal of talk about respect by the Prime Minister in recent years, but particularly since the result of the election of last month. He said, for example:
“Governing with respect means recognising that the different nations of our United Kingdom have their own governments, as well as the UK government.”
The amendment is about giving acknowledgment to that respect in relation to the European referendum. [Interruption.] Does the right hon. and learned Member for Beaconsfield (Mr Grieve) want to intervene? If so, then of course I will gladly allow him.
Alex Salmond
He was just stretching his legs, I suspect.
On the subject of respect for all nations of the United Kingdom, the amendment puts forward the view that a simple majority across the UK would not be enough to have the UK exit the European Union but that we would have to pay attention to the voting in the four constituent nations of the United Kingdom. It is not unusual, in international terms, even in federal and confederal states, for there to be a so-called double majority—in this case, a quad lock between Scotland, England, Northern Ireland and Wales. In America, 14 states can block a constitutional amendment, even if they could comprise only 5% of the population. My hon. Friend the Member for Ochil and South Perthshire (Ms Ahmed-Sheikh) will go through some of the other international examples where even in federal and confederal states there is a double lock or a blocking minority with regard to the constitution, recognising the component parts of those states.
Chris Philp (Croydon South) (Con)
Does the right hon. Gentleman not accept that matters such as this are determined at the UK level, so the reason Scotland is voting with the rest of the UK as one is that the Scottish people themselves voted last year to remain part of the United Kingdom, and therefore, on matters of foreign affairs and the European Union, we speak as a nation with one voice?
Alex Salmond
I think that even the Prime Minister and many of his right hon. and hon. Friends would concede that Scotland is a nation and that the United Kingdom is a multi-national state. I suspect that terminology is not the key problem with the Conservative party in Scotland and why it reached the nadir of 14%, its lowest result for over a century, in last month’s general election. If the hon. Gentleman fails to recognise the nationality and nationhood of Scotland, which is a theme running through the ranks of the Conservative party, then the road back to having two MPs as the summit of the Tory party’s ambition, as opposed to the current lonely one, will be a long, hard road indeed.
It is exactly because the United Kingdom is a multi-national state that we should recognise that respect, as evinced by the Prime Minister, is about more than a simple majority across the UK; it must also give reference to the component nations of the United Kingdom.
Kevin Brennan (Cardiff West) (Lab)
I welcome the right hon. Gentleman back to this House. Is not the analogy with the United States a little tenuous, because we are talking about international relations and treaty relations, and in the United States treaties will be determined by the Executive with confirmation by the Senate of the whole of the United States and with no veto for the constituent states?
Alex Salmond
I was merely pointing out that there are a number of international examples. As I said, my hon. Friend the Member for Ochil and South Perthshire will go through some of those in some great detail. This is not unusual in matters of constitutional import.
There is no doubt that a constitutional referendum on whether the United Kingdom should be part of the European Union carries constitutional implications. It is not unusual internationally, even in a federal or confederal state, to have more than a simple majority on such matters, and also reference to the various component parts of that state. If that is the case for a confederal or federal state, surely it should be so much more the case for a United Kingdom of four component nations.
Mr Kenneth Clarke (Rushcliffe) (Con)
The right hon. Gentleman is being generous in giving way. Will he confirm my suspicion that his secret wish—the perfect result, from his point of view—is for Scotland to vote yes and England to vote no? Personally, I would regard that as a disaster. Does he agree that if Scotland voted to stay in the European Union and England voted to leave, the end of the United Kingdom would probably be quite imminent?
Alex Salmond
I am always dubious about accepting a Conservative interpretation of the secret wishes of the Scottish National party. The sole Liberal Democrat Member with a Scottish constituency is in considerable trouble for trying to publicise what he thought were the secret wishes of the First Minister of Scotland, in a manner that no doubt will be fully investigated. No, the secret and public wish of the Scottish National party is for us to secure a yes vote in the referendum.
However, the right hon. and learned Gentleman does have a point, and the First Minister of Scotland has put her finger on it in her usual adroit fashion. If, across the United Kingdom, there was a majority vote against staying in the EU but Scotland had voted in favour, that could very well provide the material change in circumstances that the First Minister would indicate made another constitutional referendum on Scottish independence well nigh inevitable. With his usual insight, the right hon. and learned Gentleman has put his finger on an important point.
Alex Salmond
I see that this right hon. and learned Gentleman has stopped stretching his legs and now wants to intervene.
Mr Grieve
I am grateful to the right hon. Gentleman. It seems to me that he, too, has put his finger on the issue, which is essentially a political one. Although he might wish to change the current structure of the United Kingdom and there might be arguments in favour of a federal or other solution, that structure currently clearly provides that the decision should be taken in common. In those circumstances, although there might be terrible fallout from a result that produced separate outcomes in Scotland and England, that fallout would be political and would not justify the amendment.
Alex Salmond
Let us continue the point exactly on that question. It was as a solution to the scenario painted by the right hon. and learned Member for Rushcliffe (Mr Clarke) that the First Minister put forward the idea of having the quad lock or double lock system for the referendum. It is up to the Committee, of course, whether it accepts the amendment or not. If it were accepted, the scenario painted by the right hon. and learned Gentleman would not come to pass because it would be provided for in the terms of the referendum itself. If, on the other hand, the Committee chooses to reject the amendment, the possibility of that scenario remains open.
Alex Salmond
I will make a wee bit of progress and then give way.
The amendment is phrased so that it would protect any of the four component nations of the United Kingdom. However, given the arithmetic, it would be unlikely for the numerically dominant nation, England, to be outvoted by any of the smaller nations. However, it is entirely possible and credible that things might happen the other way round.
The amendment is fair to all four component nations, and the theme underlying it is one of respect. It is up to the Committee to decide whether the national statuses of Scotland, Wales and Northern Ireland within the United Kingdom are important enough to be given that respect.
Alex Salmond
I am spoilt for choice. Given that we are on a theme, I give way again to the right hon. and learned Member for Beaconsfield.
Mr Grieve
It seems to me that the question is about not lack of respect, but what decisions are taken in common and in relation to what decisions we give a veto to the different component parts. The right hon. and learned Gentleman argues—it is a perfectly persuasive argument—that there should be an effective veto in each component part. However, there is an equally perfectly valid argument that the decision is ultimately a political one for the Government and that the Government would be entitled to take a view that, in the interests of the community in its widest sense—all the component parts—they should come to a decision one way or the other, irrespective of the fact that one component part did not want that decision.
Alex Salmond
I congratulate the right hon. and learned Gentleman on intervening at such length without attracting the ire of the Chair. That was adroitly done. The question of whether there is respect will be judged on whether amendment 16 is considered as a valid and interesting point for debate. I was taking the Prime Minister at his word when he said:
“Governing with respect means recognising that the different nations of our United Kingdom have their own governments”.
If the Prime Minister wants to recognise respect, the Government will take the amendment seriously. I will listen to what those on the Treasury Bench say, when they make their contributions, about whether Scotland is a country or a county—let us put it that way—and about whether it is a serious matter of import or just something to be swept aside. That is a matter for the Government’s reaction.
There should be some sort of lesson in the spatchcock, humiliating climbdown, to which I referred earlier. It is true that the Government did not say over the past few weeks that they would not have the referendum on the same day as the national elections in Scotland, Wales and Northern Ireland—they could have said that at any point over the past two weeks, but they chose not to because they wanted to keep that option open—and then found last evening that they were likely to secure a humiliating defeat in Committee and, in a desperate scramble, they had to produce a last-minute amendment. My contention is that if they had shown a bit more respect over the past two weeks, they would not have had to engage in the humiliating climbdown last evening.
Sammy Wilson
Is the right hon. Gentleman really saying if, for example, a majority of people in England, Scotland and Wales voted to stay in the European Union and 51% of people in Northern Ireland voted to leave, with 49% of them voting to stay, that that 2% in Northern Ireland could hold the rest of the United Kingdom to ransom? That is the import of his amendment 16.
Alex Salmond
Far be it from me to be the one who stands up for the rights of the people of Northern Ireland, but that is the consequence of being in a multi-national state. Nations within a multi-national state should be recognised as more than regions, counties or areas and should not be counted by population; they are national entities in their own right, and that confers a relationship of respect.
Although the hon. Gentleman and I may disagree on amendment 16, I know we were at one in insisting that this Government show respect to our respective nations in not having the referendum on the same day as our national elections. Our success on that matter indicates the advantage of working together, and I hope we are able to do that on a number of aspects of the Bill.
Mr Laurence Robertson (Tewkesbury) (Con)
Will the right hon. Gentleman give way?
Iain Stewart (Milton Keynes South) (Con)
Will the right hon. Gentleman give way?
Alex Salmond
I am very tempted to do so, but I can see that the Chairman is encouraging me to move on to our other amendments in this group, new clauses 3 and 4, on the whole question of how the Government should behave in a referendum campaign.
The members of this group of 56 speak from the standpoint of being totally united in our support for the European Union—we are pro-European to our fingertips —but that does not mean we would be willing to accept a referendum that was in any way biased or rigged by the Government. Just because they are pro-European, and the suspicion is that the Government may wish to bias the referendum in the pro-European direction, does not mean that that would be right and proper. It does seem to SNP Members that if the rules of purdah about the behaviour of a Government during an election campaign are correct, as recommended in the Political Parties, Elections and Referendums Act 2000 all those years ago, that must pertain during a referendum campaign as well. In new clauses 3 and 4, we have set out in some detail what a referendum code of conduct for the Government should be.
It is astonishing that the Government should think that the exclusion of any such restrictions from the Bill would be meekly accepted by a majority of Members in Committee. It is entirely wrong for the Government to do so. We have a very recent example of why it would be very foolish for the Committee to take the Government at their word in saying that they would not engage in behaviour that breached the normal standards of purdah in the upcoming referendum campaign.
Let us take the scenario or possibility that, at some point in the course of the referendum campaign next year or the year after, the no side moves to the front. In that scenario, let us just assume that, to try to get the yes result that the Prime Minister wishes, he needed a last-minute initiative. With no rules or restrictions saying that new political initiatives should not be made at governmental level during the last 28 days of the campaign, what would stop the Prime Minister doing a tour of the capitals of each of the Governments across Europe—suspending Question Time in the national Parliament—and stop their flying as one to London to announce a new commitment, a new undertaking, a new pledge, a new vow? A new vow might be made to the people of the United Kingdom saying, “Only if you vote yes will we secure these new terms, which we did not mention before the campaign started, but which we now, as good Europeans, undertake to offer to the people.” Let us just say that, under those circumstances, that vow was influential in persuading enough people, perhaps one in 20, to switch their vote and to vote in favour, and let us just say that, after the dust had settled, all those European leaders did not really want to go forward with the full extent of the vow they had made. How would people in the United Kingdom view that situation? Would it not be rather better for the Bill to state explicitly that during the last 28 days—and only during the last 28 days—of a campaign period, the people must be able to make a judgment on the arguments that are property presented, without the use of the governmental machine to bias the result one way or the other?
When the Government explain why they want to wipe away these rules, I hear them say, “Of course, Government cannot really function in a purdah period. We won’t be able to make representations to the European Council. It will be impossible to do so over a 28-day period.” But that is what happens in each and every general election that we fight. In April and May, I did not notice that the Administration of this country ground to a halt. In fact, a lot of people thought it was better not having a fully activated Government during the campaign period. If it can be done in each and every general election, it can certainly be done in this referendum campaign.
Even more insidious than the role of the Government in making political announcements is the role of the civil service. In normal times, the civil service quite rightly views impartiality as following the policies of the elected Government. That is what the civil service is there to do; it is not meant to be neutral on issues, but to follow Government policy. When it comes to the purdah or quarantine period in an election or in a referendum, however, it is the job of the civil service to be impartial over that 28-day period.
Mr David Burrowes (Enfield, Southgate) (Con)
The right hon. Gentleman is making not a party political point, but an important cross-party point. The Committee on Standards in Public Life made that case in 1998, when it reported—this relates to section 125 of the 2000 Act—that
“just as in general election campaigns, neither taxpayers’ money nor the permanent government machine—civil servants, official cars, the Government Information Service, and so forth—should be used to promote the interests of the Government side of the argument.”
The then Government accepted that point.
Alex Salmond
And the point has been broadly accepted since. It is not just a question of the Government accepting that point, however, but of having them live by it. In the Scottish referendum, which is what I was clearly alluding to, the UK Government accepted the principle of a purdah period and all that, but despite that, they went ahead with what I would argue was the governmental, political initiative of the vow in the last few days of the campaign.
Despite the fact that the UK civil service should have been neutral in that 28-day period, that was not the case, particularly of Sir Nicholas Macpherson. I notice that his knighthood has recently been enhanced in the recent honours list—let us all congratulate Sir Nicholas on his extra honour for services rendered. In particular, the Treasury had a referendum unit working through the purdah period to place in the press stories hostile to the yes side of the argument. I know that many right hon. and hon. Members on the Conservative Benches who were on the no side of the Scottish referendum campaign did not feel that that was particularly objectionable at the time, but I ask them to imagine how they would feel if they were arguing on the no side of the European referendum debate and Her Majesty’s Treasury and its civil servants under Sir Nicholas Macpherson did the same thing. That is exactly what will happen unless the House sets rules that have to be abided by.
Nadhim Zahawi (Stratford-on-Avon) (Con)
Does the right hon. Gentleman agree that it does not matter which side one is on? Even people on the yes side should not want their victory to be tainted by the perception of a fix.
Alex Salmond
Absolutely; that is why I am making this argument from the yes side of the campaign.
I am suggesting not only that the rules should be written back into the Bill, but that there should be an enforcement mechanism. I commend new clause 4 to the Committee. It suggests that there should be a fairness committee of Privy Councillors, of which I am one. Who knows? I might be favoured in such a recommendation. The committee of Privy Councillors, selected by the Speaker of this House and the Presiding Officers of the Assemblies of Northern Ireland and Wales and the Parliament of Scotland, would have the job of making sure that the rules were abided by. It would have the power of injunction in England and interdict in Scotland to prevent the publication of anything that it believed may breach the rules of purdah, and the right to refer matters to the prosecuting authorities. New clause 3 sets out the appropriate penalties for Ministers who have the audacity to breach the rules of purdah and for civil servants who forget that they are there to serve the public, not their political point of view.
I commend those proposals to the Committee. I will listen closely to the debate. I know that many right hon. and hon. Members have similar concerns. I say to those on the Treasury Bench that, just as they were mistaken not to understand the resentment at the lack of respect that was shown by floating the idea of holding a referendum on the same day as our national elections in Scotland, Wales and Northern Ireland, they would make a grave mistake if they did not understand the cross-party concern about a potential breach of purdah by Ministers and the civil service. I hope that our proposals are given proper and due consideration.
Dr Liam Fox (North Somerset) (Con)
I rise to support amendment 11.
I congratulate the Government on having the good sense not to press ahead with their proposal to hold the referendum on the date that they had set out. That shows that they were listening and I urge them to continue in that mindset.
I will be very brief because I want to make only three points in this debate. First, it is unseemly at best for the Executive to exempt themselves from the legal, electoral and constitutional arrangements that they find inconvenient during any electoral process. We had the period of purdah during the Scottish referendum. The arguments that have been made sound like the arguments of civil servants and lawyers that Ministers have been too keen to listen to. Under the full glare of scrutiny in this House and in the media, those arguments have sounded increasingly self-serving.
Secondly, there is a reason why we have purdah: it is to prevent the Government of the day from affecting the independence or fairness of any electoral process and from using the machinery of government to do so by spending taxpayers money, using the press or using other resources that are available to them. The fear is that the Government at all levels—central and local—could use taxpayers’ money to support one side of the debate, potentially changing its course. The precedent that that would set in this country would be extremely unfortunate. We require the independence of the civil service and the government machine to ensure that our electoral process is not interfered with unduly.
My third point is about the perception or optics of this matter. After any referendum, particularly one that, as we know from previous debates on Europe, will arouse great passions on both sides, we require the result to be regarded as fair, reasonable and legitimate if there is to be any chance of the country coming together on the issue once the voters have spoken. If people believe that they have been bounced or that the result is the consequence of a rigged process, it will be extremely difficult for the country to come together, and the political consequences will be intense. It must be seen that the legitimacy of the process is related to the fairness of the process. That is what is being put at risk by the Government’s proposals.
It is clear from the letter that came from my right hon. Friend the Minister for Europe earlier today that the Government recognise that they will have to make changes to their proposals in the Bill. There are two ways of doing that. The Government can either remove the current restrictions, as they have in the Bill, and set out their own code of conduct on Report—in other words, tell the House what they will be able to do—or accept amendment 11, return to the legal status quo and ask the House on Report what exemptions they should be permitted to have. There are crucial differences between those two processes. The first suits the Executive and allows them to dictate the terms to Parliament in respect of what they want; the second asks that Parliament be given due respect and be allowed to set out the exemptions that it believes are acceptable.
I have not once, in 23 years in the House of Commons, voted against my party on a whipped vote. I urge my right hon. Friend the Minister for Europe not to force those of us who are in that position to take an alternative course tonight.
Mr McFadden
The point is that right across the piece— whether trade, university research or farming and agriculture —there is a strong case for each Department producing a report on the implications of exit, as amendment 5 calls for.
Amendment 6 deals with the Bank of England assessment. As we know, the Bank is independent, but we also know, thanks to a stray finger that sent an email to a journalist rather than a Bank staff member, that the Bank has begun work on Project Bookend, its own internal assessment of the consequences of a British exit. As my hon. Friend the Member for Nottingham East (Chris Leslie), the shadow Chancellor, said a few weeks ago, we would expect the Bank to carry out an assessment, but there would be significant public interest in it, so the amendment asks that the Government publish it if they receive it from the Bank.
Alex Salmond
The right hon. Gentleman is absolutely correct that the Bank of England is independent—in my estimation, it is one of the relatively few public authorities in the UK that keeps to that independence—but that creates a difficulty. If the Bank were to make an assessment coming down heavily in favour of the UK remaining part of the EU and warning of alarming consequences if it left, but the electorate voted the other way, the Bank would be left trying to deny its own previous warnings about the credibility of the currency and a range of other things. Its independence gives it a difficulty in making predictions.
Mr McFadden
I am afraid I disagree with the right hon. Gentleman. It is not surprising that the Bank is carrying out an assessment, but now that that is known, it will be difficult for the Bank to keep it quiet, and the demands for it to be published will grow.
Amendment 54 deals with purdah. Since the Bill’s publication, there has been a great deal of debate about this issue and its application to the referendum. As has been said, the history goes back to the Political Parties, Elections and Referendums Act 2000. Purdah applied during the referendum on the alternative vote in 2011 and the referendum on Scottish independence last year. The Bill proposes to suspend this provision, which means there would be no purdah period and no restriction on what Ministers can produce or say during the referendum period. When my right hon. and learned Friend the Member for Camberwell and Peckham (Ms Harman) questioned the Prime Minister about this last week, he said there were two justifications for taking the course proposed.
Mr McFadden
As my right hon. Friend the Member for Leeds Central said on Second Reading, we do not object to the Government’s taking a view, but we want to see a fair referendum.
Will the Government agree to publish a report, a document or a code of conduct, or to provide the clarity that we seek in some other way? If so, what form will that information take? Will it set out clearly what kind of reports or statements the Government think they may need to make? What assurances will the Minister be able to give us about the use of taxpayer funds, beyond the funds that are channelled to the official yes and no campaigns in the normal way, through the Electoral Commission?
Alex Salmond
Why does the right hon. Gentleman not propose to support an amendment that would reintroduce the very protections that his own party introduced back in the year 2000?
Mr McFadden
I am speaking to my own amendment, which calls for clarity on the Government’s intentions.
There is an important relationship between the issue of purdah and the amendments relating to whether the referendum can be combined with other elections. The Government have tabled amendment 55, which rules out a referendum in May next year but leaves open the possibility of combining it with other polls in the future. If that were to happen, would purdah not operate in the case of both the referendum and the other elections, or would it be suspended for the European referendum while operating for the purpose of other elections taking place on the same day? I believe that, when Members start to think about those questions, they will realise that the Government did not think them out fully, and that the issues of purdah and the date on which the referendum is held—and, specifically, the issue of whether it will be held as a stand-alone poll—are linked.
Let me now say a few words about amendment 16, which was moved by the right hon. Member for Gordon (Alex Salmond). As the right hon. Gentleman said, the amendment requires a majority vote for a British exit from the European Union not only in the United Kingdom as a whole, but in each of its constituent nations.
The United Kingdom joined the European Community, as it then was, as a single member state. Of course there will be different votes in different parts of the country, but we believe that we remain one member state, and that we should make this decision as one member state. Elections and referendums in this country are based on the principle of a majority of one. The Bill proposes not four separate referendums, but one referendum throughout the UK. For that reason, we will not support amendment 16.
Sir William Cash
I will sit down then. I am sorry to have to make my speech in this way, but I have been in hospital for the last four days.
Our problem is this: the situation in which we now find ourselves is not necessary. I speak more in sorrow than in anger, because I have spoken to the Minister for Europe, and we had a good discussion, as we always do. I was also grateful to him for saying in a letter that he was himself grateful for the constructive way in which concerns had been raised. It must be said, however, that the Government have not allayed those concerns, and that is the real point. I shall try to explain why, but let me first congratulate the Government on having listened. They listened over the question of having a referendum at all, they listened over the question of whether we should veto the fiscal compact, and they listened over the reduction in the budget. Those are all positive steps.
Having given the matter as much thought as I could—admittedly, I had an opportunity to do so from my hospital bed—I have to say that, in this instance, I am convinced that the Government are taking a step in the wrong direction. However—I ask Ministers to listen, if they would be kind enough to do so—it is possible for them to retrieve the situation so that there need not be a vote against.
Ultimately, what is raised is a question of trust. There are extremely strong reasons for the provisions in section 125 of the Political Parties, Elections and Referendums Act 2000, but we have heard very little about those provisions. Let me briefly explain them, so that people will know what we are about to repeal. Most might assume that, given the momentous and historic nature of the EU referendum, what is good enough for a Scottish referendum, a referendum on the alternative vote, and a Welsh referendum—all of which have taken place under Conservative-led Governments in the last few years—ought to be applicable to a referendum that goes to the heart of how we are governed and who governs us.
However, it is not just about trust. We do not know what the outcome of the promised discussions and consultations will be, but we do know that conducting a referendum in a manner that is unfair on the voters is an extremely retrograde step in the kind of democracy that we uphold. The provisions in the 2000 Act were introduced for very sound reasons. I applaud the then Government for that, and, even at this late stage, I appeal to the present Government to think again.
Incidentally, this has absolutely nothing to do with Maastricht or anything like that. There was a rebellion then because we did not have a referendum. On this occasion, we merely wish to ensure that the voters are given a fair choice. That must be one of our prime duties, because we are sent here as representatives of those people. If the Bill is passed, we shall have made a decision to transfer back to those people, by means of an Act of Parliament, the right to make their own decision. Therefore, they will have an absolute right to know that the way the referendum is conducted will in no way be canted or manipulated, whether for yes or no. Taking this out and then asking us to consider on the basis of consultations yet to come seems to me quite bizarre, because if the Government were good enough to accept my amendment 11—I am grateful for the support of many Members on both sides of the House on that—nothing would change in terms of the referendum. It is not going to take place in any immediate future. All we will be doing is re-securing the status quo so that we will then have the restrictions set out in section 125. I will come on to that section in a moment, and demonstrate what we would actually be repealing this evening. This is not just a Eurosceptic argument. This is not about a Eurosceptic position, in essence. It may be that we would prefer to ensure there is a fair vote, but the real question is about our democracy. That, to me, is the main question.
Alex Salmond
But does not the experience of the Scottish referendum tell the House that not only should the protections that are in statute not be removed from this Bill and that the hon. Gentleman’s amendment 11 should be carried, but that there needs to be an enforcement mechanism to make sure the purdah period is applied and adhered to by Government Ministers and civil servants?
Sir William Cash
I very much agree, and it may be of interest to Members, if they have not already noticed, that the Electoral Commission has examined not only the Bill but my amendments, and has stated:
“The Commission is therefore generally supportive of proposals to reinstate restrictions on the publication of promotional material by central and local government in the run-up to the poll.”
Even after Second Reading, the Electoral Commission—which is, after all, charged with these duties—has concluded it would be important to retain these restrictions. Some adjustments may need to be made in due course, but we should secure the status quo, then have the discussions, and then have the vote on Report. That would be the right way round.
Mike Gapes
I was tempted by the interventions, so I apologise to you, Sir Roger, for following the temptation. I will get back to the point.
There is an issue here to do with purdah and how the purdah requirements would apply. There will be great difficulty in holding a referendum at the end of 2017, when we are chairing the Council of Ministers meetings, because of that issue alone. For that reason, I hope that, if we are to have a referendum in 2016, we plan for it now—and that may already be, privately, the Prime Minister’s intention—rather than getting into great difficulties with the way in which it can be conducted, and damaging the United Kingdom’s role and relationship with the other 27 member states of the European Union. Once the referendum is over, assuming that it is won, we must work constructively with our partners to restore the trust and relationships for the future. It is better that we confront the issues early, rather than slipping into some kind of disastrous outcome.
Alex Salmond
On a point of order, Sir Roger. At various times during this debate, there has been reference to a letter. I was somewhat puzzled because I did not seem to have been sent such a letter. But now, through access to Twitter, it seems I may have found it. What I now have is a letter from the Minister for Europe to various Members on the Conservative Benches—it can be described only as a letter begging for support. I am somewhat disappointed not to have received it, and to have been ruled out of providing such support. If we are debating amendments—this letter specifically gives Government assurances relating to those amendments—should this communications not have been available to all Members, and should it not now been placed immediately in the Library of the House?
The Temporary Chair (Sir Roger Gale)
As the right hon. Gentleman knows, Ministers are responsible for making available their own documentation. It may be a courtesy, but it is not a matter for the Chair.
Alex Salmond
The hon. Gentleman makes the point that what Governments do outwith the purdah period is quite different from what they can do within that period. Is he aware that there was referendum unit in the Treasury, which during the 28-day purdah period was briefing in favour of the no campaign in the referendum? Can that possibly be right? Should not that sort of practice be stopped before an upcoming European campaign?
Mr Jenkin
There is a serious question about whether civil servants should be closely involved in referendum campaigns over a period much longer than 28 days. There is a serious problem for the civil service if it allows such things to happen. That is why one of the main recommendations of our report is the addition of a paragraph to the civil service code to the effect that what applies to civil servants in general elections should apply to them equally in referendums. That would prevent civil servants who are put in difficult positions, and perhaps asked to do things that they know are not in the spirit of the code, from acting in such a way.
The underpinning of the principle of civil service impartiality during a referendum now rests on section 125 of the Political Parties, Elections and Referendums Act 2000. If we do not press the amendment, we consent to the removal of that protection from the Bill. My right hon. Friend the Minister cannot ask us to do that. It is an issue of principle, and he is asking us to accede to completely the wrong principle. As I have said, I believe that he has been given very wrong advice. Far be it from me to speculate about how many Eurosceptics there are among the permanent secretary community, who might want a bit of extra freedom about what they get Ministers to do during a referendum campaign.
I am deeply disappointed that the Labour party has abandoned all its principles, but we know that it is split on the matter. On Second Reading, it was in favour of scrapping purdah. At Prime Minister’s questions, it was against scrapping purdah. Last night, Labour Members were going to vote for amendment 11, but today they are no longer going to do so. I think that they are in a bit of a muddle, and I suspect that quite a few pro-EU Labour Members would like to help to rig the referendum in favour of the yes campaign. [Interruption.] I see I have provoked the hon. Member for Rhondda (Chris Bryant). In the interests of brevity, I shall not invite him to intervene.
Unless we insist that the provisions for purdah remain in the Bill, we are acquiescing in the dilution of an important principle.
Mr Lidington
I completely understand that concern. I repeat that we will not ask the House to rely only on the words of Ministers from the Dispatch Box. We have made a commitment to introduce into the Bill changes that give expression to the assurances that we have given.
Alex Salmond
On a point of order, Sir Roger. Some of my hon. Friends were asked, in courtesy to the Committee, to shorten their speeches so that the Minister would get to speak. Is the Minister not going to extend the same courtesy to those who should be summing up on the amendment? If that does not happen, there will be other occasions when the Minister can be talked out.
The Temporary Chair (Sir Roger Gale)
If the right hon. Gentleman is referring to amendments 3 and 7—I think he is—it will be a matter for the Chairman of Ways and Means to consider them for debate on Thursday. I think the answer to the right hon. Gentleman’s question is yes, there is the opportunity, or there is likely to be the opportunity, for debate.
Alex Salmond
Further to that point of order, Sir Roger. Does the same apply to amendment 17, which is also in that category? We would not want to lose any opportunity to debate further the extent of the Government’s humiliating climbdown and acceptance that they should show courtesy to the people of Scotland.
The Temporary Chair
The answer to the right hon. Gentleman’s question is no, because that was not debated under the group.
Alex Salmond
It is a pleasure to follow the hon. Member for Harwich and North Essex (Mr Jenkin). I recall that, once upon a time, he stood for a group of radical young Conservatives north of the border. I think they called themselves the White Rose group. We were wearing white roses during the debate on the Queen’s Speech in his honour, and I dare say we would welcome him back to try his luck again north of the border some time. He spoke wisely about ensuring fairness in a referendum campaign. I agree that the restrictions on charitable groups contained in the amendments pale into insignificance when compared with some of the other imbalances—or dangers of imbalance—in the legislation that we are trying to correct.
The hon. Gentleman was also right to mention the activities of Sir Nicholas Macpherson, which his Committee quite rightly brought to book, and the dangers of a lack of observance of civil service impartiality, particularly during a campaign period. I should say that Sir Nicholas threatened to reach for his lawyers when he saw an advance copy of a book that I published recently. It is available for £12.99 at all good bookshops. [Laughter.] In a letter to the editor of The Scottish Sun newspaper, he said that he was considering his “legal options for redress”. I am pleased to say that, in the interest of freedom of speech, the articles in the newspaper went ahead, as did the book. As yet, we have not heard from Sir Nicholas’s representatives—Sue, Grabbit and Runne, or whoever the permanent secretary to the Treasury uses these days.
We have reached an extraordinary situation when we find ourselves lecturing charities and regulating their activities without any evidence that any charity is about to breach the fairness rules—except for the rather slight evidence mentioned earlier in relation to the north-east referendum some years ago—but we are not concentrating on the hugely serious potential imbalance that could result from the activities of Government Ministers breaching purdah or from civil servants breaching impartiality rules. By all means, let us have assurances about the range of amendments that have been proposed. Incidentally, never in any European debate in this House have I seen such a small number of speakers ready to address the amendments before us. Let us examine the amendments by all means, but let us also remember that this is a small matter compared with the other matters that we have been discussing.
Earlier in the proceedings, I was astonished to see real concern being expressed across the Chamber about fairness and impartiality in relation to what could happen during the campaign period. I was also clear that if the Labour party had been prepared to adopt a more robust stance, we could have had it written into this Bill the impartiality that we previously had through the observance of the Political Parties, Elections and Referendums Act 2000 rules. There was even enthusiasm for an enforcement mechanism, without which rules and regulations have no effect whatsoever. I think that Labour will look back at those lost opportunities and recover a little bit of political momentum. Its Front-Bench team was quite extraordinary today, in its lack of answers to the question of how, when the opportunity beckoned, to defeat the Government in a major matter and to ensure fairness and impartiality in the observance of legislation that a previous Labour Government had passed.
Mr Rees-Mogg
I am extremely grateful to the right hon. Gentleman for giving way. I find myself in a surprising degree of agreement with what he is saying, but there is a chance that the sinner repenteth, because similar amendments may come forth on Report.
Alex Salmond
As I understand it, and I am open to correction from Sir Roger, the sinner may get a chance to repent even before that. Amendment 11 has still to be called in our proceedings, so the sinner may get a chance to repent on Report, at the eleventh hour or at 7 o’clock this evening. Let us all hope that the sinner does repent whenever they choose to.
The Temporary Chair (Sir Roger Gale)
As I am being quoted, may I just say to the right hon. Gentleman that I shall not be taking repentance at that time?
Alex Salmond
I wish to make it absolutely clear for the record that the only sinners to which we are referring are those who were previously located on the Labour Front Bench. I am not talking about anyone else in the House.
There is a serious point. Whatever side of this referendum campaign we want to adopt, and if we are all agreed that it is important that everyone sees the referendum as fair and square, the rules should be drawn up in such a way to give a proper contest—a square goal, as some of my Glaswegian colleagues might say. If there is to be a genuine and fair contest, it does require us, when opportunities present themselves to defeat the Government, as they so rarely do, to ensure that those opportunities are taken. I appeal to the Labour Front Bench Members—perhaps they will communicate this to their colleagues—to see that that opportunity still beckons to ensure that that can happen later in our proceedings.
The Government’s position across a range of matters seems to be somewhat disorganised. I know that there was a great anxiety on the part of Government to rush forward with this Bill immediately after the general election. Perhaps they wanted to catch out the Labour party, which was still in a state of leadership limbo. A number of things already in our proceedings tell us that insufficient thought has gone into the Government’s position. There was that extraordinary climbdown, or cave-in, on Government amendment 55. I welcome the fact that respect has belatedly been shown to the nations of Scotland, Wales and Northern Ireland, but it does not have the smack of a Government that have considered their point of view. Across a range of matters, particularly with regard to purdah, there is a sign that the Government have not sufficiently thought through their position.
Earlier, I was told that it is in order for the Minister for Europe to circulate a letter, only to his colleagues, that says what might happen on Report if people do not press their amendments inconveniently. I see that the experienced hon. Member for Stone (Sir William Cash), who spoke from a sedentary position—we all welcome him back to his place—is smiling. He has been on the receiving end of many such letters over the years—probably more than the rest of us put together. I do think that it is somewhat remiss of the Government to distribute information only to those on the Conservative Benches.
Earlier, I was struck by the actions of the right hon. and learned Member for Rushcliffe (Mr Clarke). He had not received the communication, but within seconds of it being passed to him, decided that he was in favour of it. That was a remarkable rush to judgment, I would say, both in terms of the climbdown we have seen on the date of the referendum and of the inadequate thought that has been given to this hasty revocation of the purdah considerations.
Sir Greg Knight (East Yorkshire) (Con)
Should the Government not be commended for listening and being flexible, rather than condemned?
Alex Salmond
When in government, I always listened and was always flexible. One interpretation of events might be that, when the Government realised yesterday at about 7pm—when the Democratic Unionist party decided to sign the SNP amendment—that they were about to go down to a defeat not of ones and twos but of 10s and 20s because they could not carry a majority of the House, they prepared what can only be called a 9.35, spatchcock, last-minute amendment and tabled it as a starred amendment with the Clerks. That could be called flexibility and listening or blind panic that they would go down to a defeat. Whether it was blind panic, as most of us think, or whether it was the listening Government that the right hon. Gentleman aspires to, it is a welcome concession.
Mr Jenkin
I should correct the right hon. Gentleman. The correct title of the group to which he referred, to which I and others such as Mr Speaker and one of the Deputy Speakers, the hon. Member for Epping Forest (Mrs Laing), belonged, was called the White Guard.
I want to pick up the right hon. Gentleman’s point about the letter. It says that the Government wish to use civil servants to explain the position arising from the renegotiation during the purdah period. If the referendum is not going to be about the Government’s deal with the EU, what is it going to be about? The letter says that the Government want to use the government machinery for precisely the purpose that they should not be allowed to use it for.
Alex Salmond
That is an excellent point. I bow to the hon. Gentleman’s memory as to the White Guard as opposed to the White Rose group. I am delighted to receive the information that Mr Speaker was a member. I cannot believe that he was unsuccessful in an election anywhere, but I am delighted to have that information. No doubt I shall use it at some point in the future.
I am afraid that I have just got the letter through Twitter and have not had a chance to examine it fully. The hon. Gentleman makes a serious point that goes to the heart of the profound issues that he and others have raised.
Sir Edward Leigh
I thought that the white rose was a Jacobite symbol and then a Tory symbol. I am surprised that the SNP has adopted it, but I am grateful to the right hon. Gentleman for adopting our symbol. Notwithstanding the arguments about purdah—he makes some good points—does he agree that it is important that there is broad equality of spending on both sides?
Alex Salmond
The hon. Gentleman should be aware that there is a Jacobite white rose. I have always had the hon. Gentleman down for a Jacobin rather than a Jacobite, but there is also the MacDiarmid rose in the poem:
“The rose of all the world is not for me
I want for my part
Only the little white rose of Scotland
That smells sharp and sweet - and breaks the heart.”
SNP Members were adorned by the MacDiarmid rose during the Queen’s Speech.
The point about spending limits is well made. Fairness in terms of spending capacity is one important part of elections and referendums. There is an enforcement mechanism—some may say that it is not always used as rigorously as it could be—for election or referendum spending rules and there are severe penalties for breaching them. There is no such effective mechanism for breaches of purdah or when Ministers or civil servants go clearly outside the purdah rules. I commend to the hon. Gentleman the new clauses, which we will vote on later, which would introduce exactly such an enforcement mechanism to ensure fairness not just in our debates but in a referendum.
Sir William Cash
The civil service code does not impose any restriction on civil servants as far as I am told. That would definitely have to be dealt with, as the right hon. Gentleman suggests.
Alex Salmond
I am delighted to have given way to the hon. Gentleman, who is in a sedentary position. His colleague the hon. Member for Harwich and North Essex (Mr Jenkin), whose Committee’s report condemned the activities of Sir Nicholas Macpherson a few months ago, has alluded to exactly why that should be done. The hon. Member for Stone is right and I commend him to look at our new clauses 3 and 4, which seek to set out what the rules should be and to provide an enforcement mechanism to make sure that they are adhered to.
You have been patient, Sir Roger, and I know that a number of other hon. and right hon. Members wish to speak. I say to the Government that this debate has already flung up a range of issues. There are severe deficiencies in the Bill, although we certainly welcome the concession on the timing of the referendum, whether that happened as a result of listening or of panic. However, there are other areas on which the Government have not yet convinced me as a pro-European or, I suspect, some of their colleagues who take a different view on the European referendum. The joint view that we hold, as far as is possible, is that we would like to see a referendum that is conducted in a proper and fair manner.
Sir William Cash
I am going to speak to my amendment 9, which is a simple amendment with very important consequences and implications. It would ensure that the referendum period lasts for at least 16 weeks.
Under the Political Parties, Elections and Referendums Act 2000, there is a maximum six-week period for potential lead campaigners to apply and be appointed, followed by a minimum four-week period before the poll. However, the Electoral Commission, drawing on its experience of regulating the rules for the Scottish independence referendum in 2014, has concluded that an alternative approach is needed to the timetable for appointing lead campaigners. The amendment recommends that, should the legislative timetable allow for it, the appointment should take place shortly before rather than during the first six weeks of the referendum period.
The effect would be to provide clarity at an earlier stage for voters and campaigners, and to ensure that the lead campaigners were in place shortly before the majority of the regulatory controls come into force. I cannot think of anything much more important than people knowing who is running which organisations. That would therefore allow for a shorter total duration of the subsequent referendum period—for example, a designation period of six weeks—with a subsequent 10-week regulated campaign period.
This is a massively important referendum and it is pretty astonishing that there is a vacuum on this subject. This is an extremely important amendment. The Minister for Europe is not in his place, but one of the senior Whips is, which is no substitute—
Sir Gerald Howarth
No, I will not give way, because all three Members have spoken and intervened ad nauseam. I have a reception to go to for BAE Systems, the fourth largest defence manufacturer in the world, based in my constituency, and I do not wish to detain the Committee more than is absolutely necessary.
Alex Salmond
On a point of order, Mr Howarth. In a Committee of the whole House, is it a reasonable explanation for not giving way for the hon. Gentleman to say that he has a reception to go to?
The Temporary Chair (Mr George Howarth)
As the right hon. Gentleman well knows, that is not a point of order. The hon. Gentleman can give way or not. That is a matter of choice for the hon. Gentleman.
John Penrose
We have heard an extensive set of contributions in this debate, including from my hon. Friend the Member for Gainsborough (Sir Edward Leigh), the hon. Member for North East Fife (Stephen Gethins), my hon. Friends the Members for Stone (Sir William Cash) and for Harwich and North Essex (Mr Jenkin), the right hon. Member for Gordon (Alex Salmond), the hon. Member for Glenrothes (Peter Grant), my hon. Friends the Members for Aldershot (Sir Gerald Howarth) and for North East Somerset (Mr Rees-Mogg)—he was kind enough to say nice things about the constitutional impact of Somerset—my right hon. Friend the Member for Wokingham (John Redwood) and my hon. Friend the Member for Daventry (Chris Heaton-Harris).
I will start by saying a few words about clause 3 in general. I will then speak to the Government amendments before endeavouring to respond to the various points that have been made by colleagues on both sides of the Committee. Clause 3 sets out that part VII of the Political Parties, Elections and Referendums Act 2000—PPERA—applies for the purposes of this referendum. It has been in place since 2000, so it provides a well-established and understood framework for regulating referendums in this country. For example, part VII sets the spending limits for campaigners during the referendum period and the rules on donations.
However, the legislation for two recent referendums—on the voting system in 2011 and on Scottish independence last year—although based on PPERA, also provided examples of how the controls on campaigning and the framework for conducting a referendum could be improved. Where those changes have improved the regulation of referendums, with the support of the Electoral Commission, we have sought to replicate them in the Bill.
Alex Salmond
The Minister is quite right about building on experience to try to augment the PPERA recommendations. If the Government have done that with regard to finance, why did they not do it with regard to purdah?
John Penrose
We have already discussed that, and I understand that promises were made from the Dispatch Box earlier this afternoon by my colleague the Minister for Europe. Further proposals will be brought back to the House in due course, and I hope that the right hon. Gentleman and other colleagues will be pleased by what is brought back at that point.
Clause 3 therefore introduces schedules 1 and 2, which make further provision, and it modifies PPERA in relation to the campaigning and financial controls that will apply for the referendum. It also introduces schedule 3, which makes further provision, and it modifies PPERA in relation to the framework for administering the referendum.
Rather than spending a great deal of time on the detail of those schedules, I will move on to the Government amendments and then try to respond to the other amendments in the group, particularly those tabled by colleagues on the Government side of the Committee. The Government have tabled two amendments, which I will briefly explain. Amendment 14 will increase the spending limits for permitted participants at the EU referendum. The limits will apply instead of those provided for by PPERA. The increase takes account of inflation since PPERA was passed in 2000 but goes no further. The changes will apply to the spending limits for all those campaigners who are eligible to become permitted participants on both sides of the debate, including the designated lead organisations and political parties. It should be fair for both sides.
Amendment 15 gives effect to a recommendation of the Electoral Commission. It provides that where campaigners register as permitted participants but do not incur regulated spending, the responsible person must submit to the Electoral Commission a declaration that no regulated expenses were incurred. It will apply only for the purposes of this referendum. It is a technical amendment. Under the current provisions, there is no provision for a nil return. Although that can perhaps be seen as a logical approach in the event of a campaigner not spending, it creates a challenge for the Electoral Commission in undertaking its statutory duties. When a registered campaigner does not submit a spending return after the poll, it is not always clear whether that is an act of non-compliance, or because they have not incurred regulated spending. The amendment will make the situation clearer. Every registered permitted participant will be required to submit a return or declaration of some sort. Failing to do so without reasonable excuse will be a criminal offence. That should help to ensure that the Electoral Commission can focus its attention on clear cases of non-compliance. Given that it applies only to people or organisations that have already registered as campaigning groups, it ensures that transparency will be paramount.
Let me move on to some of the other amendments in the group. I will begin with amendment 9, tabled by my hon. Friend the Member for Stone, which a number of colleagues have addressed. The amendment seeks to extend the referendum period from the currently envisaged 10 weeks to up to 16 weeks. Having listened to my hon. Friend’s speech, I think that he is particularly concerned because at the start of any campaign the Electoral Commission needs to go through a process of designating the lead campaigning groups, and in the past there have been great concerns. In fact, the designation process has occasionally lasted for five or six weeks. If that six-week period begins at the start of 10 weeks of referendum campaigning, we will effectively end up with lead campaigning organisations being designated as such, and getting the public funds to which they are entitled, with a period of only four weeks to go before polling day. My hon. Friend rightly pointed out that that might put a crimp in the way in which the campaign was run, for both sides, which would not leave enough time to air important issues or make preparations. His proposed solution is to extend the period from 10 weeks to 16 weeks. I suggest a slightly more flexible alternative, which I hope will achieve the same outcome.
The Bill states that Parliament must agree to an affirmative statutory instrument to fix the date of the referendum in law. As my hon. Friend knows, an affirmative SI takes about six weeks to go through Parliament. Therefore, after the announcement of the election date, the House will consider the SI for a period of about six weeks before it approves the date of the referendum, and only then can the 10-week period start. Clearly, that will not help unless the designation of lead campaigning organisations can be done in parallel.
As my right hon. Friend the Member for Wokingham and others have mentioned, stirrings of campaigns are already under way. Campaigns are already gearing up, and the organisations involved are already co-operating and co-ordinating with each other, although we are at an early stage. I encourage those on both sides of the debate to engage at an early stage with the Electoral Commission, because both sides will, in all probability, start campaigning unofficially long before the eventual official start of the referendum campaign. Because they will be able to start engaging with the Electoral Commission at an early stage, not only will we be able to begin designation six weeks before the beginning of the 10-week period, but we stand a decent chance—with the Electoral Commission’s blessing, of course—of getting through the designation process rather faster than we otherwise could.