Ministerial Code: Policy Announcements

Baroness Twycross Excerpts

Wednesday 30th October 2024 Lords Chamber

[Baroness Neville-Rolfe (Con)]

Does the Minister feel any shame that the Labour Party has constantly assured the country how devoted it is to propriety and the Ministerial Code, while the Speaker of the House of Commons has rightly criticised the Government for an unparalleled breach of that code? There was a major announcement overseas last week on the fiscal rules. As we have now seen, this formed a critical part of today’s Budget, allowing a huge increase in spending. What a contrast with the Government’s previous attitude. The Government could, and I believe should, have made a Statement to Parliament on Thursday on these changes. Will the Minister, in her position at the Cabinet Office, seek to persuade her colleagues that they should abide by conventions and the rules of the code? Will she apologise now for this unfortunate breach?

[The Parliamentary Under-Secretary of State, Department for Culture, Media and Sport (Baroness Twycross) (Lab)]

My Lords, the Government take their obligations to Parliament extremely seriously. As the Minister for the Cabinet Office said in the other place yesterday, the Speaker’s comments have been heard by Ministers across government, including in this House. As for Treasury Ministers making announcements in the other place, the Chief Secretary to the Treasury made an Oral Statement to Parliament on Monday about the fiscal rules and Treasury Ministers answered questions in the other place yesterday. Today, the Chancellor set out in Parliament the full details of the Budget, which will fix the foundations of our economy. Anyone who was watching the faces of the Opposition Front Bench will know that most of the measures were clearly a surprise. The leader of the Opposition seemed particularly glum as he looked at his phone for his revised lines.

[Lord Wallace of Saltaire (LD)]

My Lords, does the Minister understand why we on these Benches feel that we keep hearing the pot calling the kettle black? I note that, in the Commons, the Conservative spokesperson complained that the Labour Party was behaving just as badly as the Conservatives had. Perhaps I should admit that, during the coalition Government, George Osborne, as Chancellor, was heard to complain that Nick Clegg’s office briefed out all the juicy bits from the Budget before he had a chance to give his Budget speech—so everyone does it to a certain amount. Does the Minister accept that the idea that everything in the Budget should be unknown beforehand and sprung immediately on Parliament is perhaps not the best way to handle financial and spending planning in today’s complicated environment, and that that is one of the things the new Government should be reconsidering, in consultation with the other parties?

[Baroness Twycross (Lab)]

This party and the Government understand our obligations to Parliament and take them extremely seriously, but I note the noble Lord’s points. As the Minister for the Cabinet Office said in the other place, we have heard what the Speaker said, and all Ministers are very clear about their responsibility to the other place and, on this Front Bench, to your Lordships’ House.

[Lord Young of Cookham (Con)]

My Lords, on Friday, we heard about the fiscal rules from the Chancellor. On Saturday, there was an announcement from the Secretary of State for Education of £1.4 billion for school building. On Monday, the pace accelerated and we heard about the bus fare cap and £240 million to get Britain working. On Tuesday, there was a briefing about the national living wage, and today, even before the Budget, there was an announcement of £3 billion extra for defence. Was this not authorised and centralised briefing from 10 Downing Street?

[Baroness Twycross (Lab)]

My Lords, I repeat that we take our obligations to Parliament seriously. I do not think that most of what was in the Budget was pre-briefed. This Budget makes difficult choices on tax, spending and welfare, with the intention of restoring stability, fixing the foundations and investing in the future of Britain. Importantly, we are delivering on our manifesto, which will protect people’s payslips as income tax, employee national insurance and VAT stay the same but businesses and the wealthiest are asked to pay their fair share. We make no apologies for the content of the Budget and I am very proud of the history of the Labour Party in rebuilding our country; we intend to rebuild it again.

[Lord Butler of Brockwell (CB)]

My Lords, while the principle behind this Question is undoubtedly right, does the Minister agree that trying to prevent Governments in this day and age rolling the pitch before a major announcement is like King Canute asking the tide to turn? I endorse what the noble Lord, Lord Wallace, said; there is some merit, as recent experience has shown, in not surprising the markets with very sensitive announcements.

[Baroness Twycross (Lab)]

I agree with the noble Lord on markets and I am sure that, in the other place, previous Chancellors from previous Governments might feel that they would have been better placed had this happened. We need to get the balance right. We are very clear that we have an obligation to Parliament. The point about the markets and having a bit of common sense has considerable merit.

[Lord Macpherson of Earl’s Court (CB)]

My Lords, back in March 2013, the Budget was comprehensively leaked and the then Chancellor, George Osborne, commissioned me to do a review into the pre-release of Budget information. I published a report in July 2013 and recommended a ban on the pre-release of the core of the Budget. The Government accepted my recommendations. Do the current Government still stick to the policy agreed at that time?

[Baroness Twycross (Lab)]

We do. To anybody who watched that Budget and who had not been involved in its development and thought that they knew every single detail that was announced in the Chancellor’s speech, I would question whether they were watching the same speech as I was.

[Lord Clarke of Nottingham (Con)]

My Lords, I will not repeat what I said yesterday, but I was outraged by the complete circus of trailing in advance and trying things out that has gone on for three months while this Budget was prepared. There were no surprises to anybody in today’s Budget, and they got away with it as far as the markets were concerned—but I said I would not repeat that. I now do not understand what the policy is. The Minister sounds as though she still asserts that it is a serious matter to trail in advance the contents of the Budget before they have been announced to Parliament. She says it with a completely straight face. My learned noble friend Lord Macpherson, who was with me in the Treasury in the 1990s, when we did not have leaks of any kind—

[Lord Clarke of Nottingham (Con)]

We did not—even the Cabinet did not know what was going to be in the Budget until the day before, because someone in the Cabinet would have leaked it.

Will the Minister not acknowledge that this Government are now approaching Budgets on the basis that things have to be tried out with the public and various Labour lobbies, and nastier things leaked in advance to lower their impact? It is all deliberate media management nowadays and the old obligations to Parliament are, in practice, being completely, deliberately and openly abandoned.

[Baroness Twycross (Lab)]

I find the outrage from Opposition Members to be in the category of faux outrage. As I said earlier, the Speaker’s comments were heard by Ministers across the Government, and Treasury Ministers have been hardly out of the other place this week, with Statements and Question Time. I cannot see how anybody could assert that all the decisions in the Budget—which makes difficult choices to fix the foundations of the economy and public services in this country—were trailed in advance.

[Baroness Fox of Buckley (Non-Afl)]

My Lords, this is not about party politics or outrage; no one is playing politics here. This is about the rules and a set of conventions that are democratic in nature. It is not fair to dismiss concerns about manipulation. The noble Lord, Lord Clarke—and, goodness knows, he and I agree on nothing—raises perfectly valid arguments. Can the Minister listen seriously to the concerns? It is true that I did not know in advance everything that was going to be Budget—in some ways it was a lot worse for ordinary working people than I anticipated—but I did know far too much. The attempts at manipulation break the rules. If the public break the rules on anything, they get a lecture from this Government, so maybe the Government should listen in this instance.

[Baroness Twycross (Lab)]

I do not recognise the scenario that the noble Baroness presents. As the Minister for the Cabinet Office said yesterday, we take this extremely seriously. We are going to shortly produce a new Ministerial Code and we will be increasing the transparency of a whole load of measures as a result. It is clear that we are not going to agree on this point across your Lordships’ House. We have heard the Speaker’s comments and they apply to Ministers in this House as well.