Lobbying of Government Committee

Debate between Anneliese Dodds and William Wragg

Wednesday 14th April 2021 Commons Chamber

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

This afternoon, we have heard a story of endemic cronyism—cronyism that has persisted for years and spread right across this Conservative Government and previous Conservative-led Governments. Parallels with the Conservative Governments of the 1990s are clear for all to see: jobs for the boys, all over again. Conservative sleaze is back. But as my hon. Friend the Member for Wallasey (Dame Angela Eagle) said, there is a difference this time—a difference in scale. This time, we are talking about hundreds of millions of pounds of public money put at risk, and thousands of jobs.

What is staggering is the complacent and cavalier attitude of those involved, as so many have said today, not least my hon. Friend the Member for Lewisham East (Janet Daby). A former Conservative Prime Minister thought there was nothing wrong with texting the sitting Chancellor and two of his junior Ministers to ask for special treatment for the financial services firm that was paying his wages. A Chancellor thought there was nothing wrong with pushing his team to see whether they could amend a Government loan scheme to give Greensill access to hundreds of millions of pounds of public money. A Treasury and a Business Department thought there was nothing wrong with Greensill being accredited as a lender under one of the Government-backed schemes, even when it had been rejected by another, and this mere months before the firm collapsed altogether. All this took place when the vast majority of public servants, civil servants and, of course, key workers were working with integrity around the clock on the covid effort.

We know that before that, David Cameron thought there was nothing wrong with setting up Lex Greensill in the heart of Government, with a desk, business cards and his own No. 10 email address, and nothing wrong with giving him access to contracts worth billions of pounds. Indeed, a contract was lined up for Greensill to provide supply chain financing across the public sector, and it was pulled only a few days ago, when this scandal started to break.

Similarly, the Health Secretary thought there was nothing wrong with meeting the former Prime Minister for a drink with Lex Greensill to discuss how their firm could get access to NHS staff pay, packaging up loans as bonds to be sold to investors and trading on the good name of our NHS.

The Government’s former head of procurement thought there was nothing wrong with becoming an adviser to Greensill Capital while he was still a civil servant. I have never before heard of someone using the revolving door before they have even left the building. Ministers cannot wash their hands of that behaviour and say, “It was the civil service; it is nothing to do with us.” As my hon. Friends the Members for City of Durham (Mary Kelly Foy) and for Jarrow (Kate Osborne) made clear, successive Conservative-led Governments have set the tone and the culture that allowed the behaviour we have heard about today—an approach to public office whereby the accountability and transparency that we should all expect have been replaced by a tap on the shoulder here, a nudge and a wink there.

We need a thorough and genuinely independent investigation to get to the bottom of this, one that can take evidence, call witnesses and report publicly. Instead, as we have heard, the Conservatives propose an inquiry run by the son of a former Conservative Cabinet Minister who works for the law firm that advised the Treasury on the design of the loan scheme that David Cameron lobbied for Greensill to access.

As we know, the Chancellor continues to run scared. He has not been seen in the House since the day after Greensill collapsed. Yesterday, we called for him to come to Parliament, but the Chancellor was frit. He seems to have forgotten his enthusiastic communications about his loan schemes. Indeed, at one point he tweeted proudly about CLBILS—the coronavirus large business interruption loan scheme—with the hashtag #AskRishi. We would love to ask Rishi, but we would have to find him first.

In offering excuses for his absence, the Chancellor claims that neither he nor his Department had any oversight—any role whatever—in deciding who got access to the public lending schemes he announced. He must be the first Chancellor in history to go on the record as having no idea about who was getting access to hundreds of millions of pounds of public money and how they were obtaining it. He promised to level with the public, but I did not think that meant the Chancellor telling the public he did not have a clue what was happening with their money.

As the Minister for the Constitution and Devolution said earlier—it was very good to see her via video link—the use of public money is overseen by the Treasury.

Public money is not the Chancellor’s money, and it is not the Conservatives’ money: it is public money, and it should only ever be used in the public interest. It is simply not good enough for this Government to mark their own homework and hide from scrutiny, as my hon. Friend the Member for Luton South (Rachel Hopkins) has just said.

[Mr Wragg]

On the point about scrutiny, and following the speech made by the hon. Member for Luton South (Rachel Hopkins), who is indeed a member of the Committee that will be scrutinising all of these matters—of which it is my privilege to be Chair—I wonder if the hon. Lady could seek not to correct the record, but to explain? If she is seeking independence of scrutiny, the motion before us and on which we will vote is deficient, because in paragraph (3) it asks that the members of that Committee be nominated by the Committee of Selection, which is entirely in the control of the party Whips.

[Anneliese Dodds]

My hon. Friend the Member for Leeds West (Rachel Reeves) very ably answered that point earlier: she made very clear the basis upon which our demands are being made. I will be very open with the hon. Gentleman—for whom I have considerable respect—that as so many Members have said this afternoon, it is important for all of us that we clear this matter up and are able to call witnesses, including former Prime Ministers where necessary; that we can do so publicly; and that we can do so about the range of matters that this affair raises. I regret to say that the investigation that has been created by Government simply does not do that. That is why we are calling for the approach set out in today’s motion.

[Mr Wragg]

Will the hon. Lady give way?

[Anneliese Dodds]

No, I will proceed with my remarks. The people of this country deserve answers, and they deserve to be treated fairly. That is a point that many of my hon. Friends have made very ably: the Members for Wansbeck (Ian Lavery), for Ilford South (Sam Tarry), for Hornsey and Wood Green (Catherine West), and for Ellesmere Port and Neston (Justin Madders).

Last year, I was contacted by someone I will call Jessica; I am sure that Members on the Government Benches will have been contacted by many people like her. Before this crisis, Jessica had a modest income, but it was a reliable income. She worked as a self-employed tour guide and in short-term, part-time roles. When the crisis hit, she lost all her income, but she did not quality for any of the Government’s support schemes, and as an owner-occupier, she was knocked out of most support from social security as well. She was angry, upset, and worried about how she as a single parent could support her family. Obviously, as we all know as constituency MPs, Jessica was not alone. The campaign group ExcludedUK suggests that there were up to 3 million people like Jessica: people who simply could not understand why the Government refused to fix support schemes so that they could get help. People like Jessica did not have the Chancellor’s phone number. Last year, Greensill got 10 meetings with Treasury officials; the group representing the excluded got one meeting.

Most of the excluded are still waiting for help, and our country is still waiting for a strategy to support those jobs put at risk by the collapse of Greensill. Indeed, our country has lacked a strategy for steel for 10 years. Last week, I visited the Liberty Steel plant in Hartlepool. I was incredibly impressed by the world-class technology and operation there; by the dedication of the workforce; and, in particular, by the enthusiasm and commitment of the two apprentices I met. Their work is good, decent work, manufacturing materials that British businesses need. It is a world away from the kind of complicated financial structures and share options that seem to have been par for the course for Lex Greensill and David Cameron, but jobs are at risk because of Greensill’s collapse and because of that lack of any strategy for the future of UK steel, as my hon. Friend the Member for Newport West (Ruth Jones) made clear.

To conclude, those steelworkers deserve better, and so do the British public. Government Members know that; they know that their constituents are appalled by new evidence of cronyism and the sleaze that seems to be emerging every day under the Conservatives. As the hon. Member for Hazel Grove (Mr Wragg) said, Members should question why they are being asked to defend these events. They should consider the impact that this will have on their integrity. The hon. Member for Bexhill and Battle (Huw Merriman) spoke of loyalty. Loyalty must be to the public interest, not to partisan friends, a point ably made by my hon. Friends the Members for Bristol South (Karin Smyth) and for Sheffield, Hallam (Olivia Blake). Government Members should, as my hon. Friend the Member for Kingston upon Hull East (Karl Turner) said, show some backbone. They should vote today for a full, transparent, Parliament-led inquiry to get to the bottom of this scandal once and for all.