Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Bill

Baroness Tyler of Enfield Excerpts

Wednesday 18th December 2013 Lords Chamber

[Baroness Tyler of Enfield (LD)]

My Lords, I add my support for Amendment 170H, to which my name is attached. As my noble friend Lord Tyler has already explained, the amendment seeks to apply the limit of £390,000 to any one registered third party or to any one coalition campaign, but not to limit the spending of one body by virtue of the spending of another. That is a key point.

As I looked into this issue, it became clear that, under the existing 2000 legislation, if a number of organisations campaign together on one issue, each member has to account for the full amount spent on that joint campaign, regardless of their individual contributions, however large or small. As I understand it, this aggregated reporting of coalition spending was put in place at the time as a form of anti-avoidance mechanism for these rules. My concerns are based on my own experience of working in coalitions of charities, and focus on the impact that this can have on collaborative working across the voluntary sector. I am particularly concerned about the impact on small and medium-sized charities and other organisations. In the year before an election, small organisations are quite unlikely to join coalitions for fear of having to deal with the related administrative burdens, while larger organisations are likely to walk away from such coalitions in order to avoid reaching the maximum expenditure limits.

I have also looked at the work of the Commission on Civil Society and Democratic Engagement, and I pay tribute to the noble and right reverend Lord, Lord Harries of Pentregarth, for highlighting the issue of the impact on coalitions of charities. I was struck by how charities would be affected, because they will have to deal with two regulators. I know very well that the Charity Commission encourages coalition working in order to achieve the efficient use of resources—and, frankly, because when smaller charities work together they are likely to have a far greater impact on the policy area they are concerned about.

My personal experience is based on three things. For two and a half years I was the chair of the Kids in the Middle coalition—an interesting coalition of around 30 charities in the children and families sector, working with 30 of the country’s agony aunts and one or two agony uncles. It was all about the impact that very high-conflict separation of parents can have on children. I like to think that it was a rather effective campaign in terms of the things that were achieved, but I fear for how such a coalition of charities would be able to operate under the Bill as it stands.

I am also currently the chair of a coalition of charities called the Making Every Adult Matter group, which looks at how organisations trying to help adults with multiple and complex needs can better work together to produce more joined-up solutions on the ground. It is very difficult for small to medium-sized charities, given the size of their resources, to campaign individually. They simply do not have the resources to do it, and it is probably not a very good use of their very limited time.

I will finish by making a couple of broader points about coalitions and how they could be affected by this legislation unless these amendments are taken on board. It is really important that coalitions are able to campaign effectively, often over a long period of time, to get their point across. I think, for example, of the Mental Health Alliance, which has existed for nearly 10 years. The lead organisations in any alliance or collaboration need to have clarity that they themselves will not be penalised by excessive regulation if their campaign happens to straddle election periods. They also need to be absolutely sure that their governance responsibilities are clear.

I feel quite strongly about federated charities. I was chief executive for five years of Relate, a federated organisation in exactly the same position as federated charities such as Mind or Age UK. They are federations of local independent charities that operate under an umbrella and are federated with a central charity. My concern is that, unless an amendment of the type that we are talking about is taken forward, individual charities that work as part of an umbrella charity will find themselves in a very difficult position and will perhaps feel that they would not wish to be involved in any campaigning work. That would be very unfortunate.

[Baroness Mallalieu]

My Lords, my name is on Amendment 170M. This issue creates a number of problems, some of which have been mentioned and some of which have not. One concern is that it gives a completely misleading impression of what each partner in a coalition has spent, because it has to include everybody else’s contribution with its own. This does not give the impression of transparency—if that is what we are trying to achieve—but just the opposite. It gives the public a picture of smaller organisations, and the campaign as a whole, spending far more than they have actually done.

It also of course reduces the amount that can be spent by those groups on other messages or campaigns that they may be conducting. It is inhibiting in both ways and provides the opposite of transparency—it draws a veil over the whole coalition and does not give a true picture to those who want to see how much each of them is spending. Others have said that it is a discouragement to coalition working, which charities are encouraged to do.

We also know from the evidence we have heard that there is very considerable concern about coalitions that involve charities and non-charities working together. How does the Minister see such a coalition working if he were tempted to agree to the amendment moved by the noble Lord, Lord Phillips, which sought to take charities out of the Bill? If that was done, the charity would of course be under no obligation to register or, indeed, to record its contribution, but the non-charity would. If he has a chance to do so, I would be grateful if the Minister could deal with my worry about that particular situation.

It is quite clear, as we grapple with this, that five weeks is totally insufficient to reach a proper conclusion that would create transparency but at the same time not inhibit proper campaigning. The Electoral Commission has said that, ahead of Report in this House, it is looking at all the options for mitigating the burdens on campaigners with a common plan that spend less than the registration threshold, and that it will publish its conclusions to help the House before that stage.

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[Lord Berkeley of Knighton (CB)]

My Lords, may I add a small rider to what the noble Lord, Lord Deben, has just said? I have been involved to a certain extent with raising funds, mainly in the arts, but also for charitable work. One of the questions that people are most frequently asked is: how much of the money will go on administration and bureaucracy? We must bear that in mind and minimise it as much as possible.

[Baroness Tyler of Enfield]

My Lords, I support Amendment 174. As my noble friend Lord Hodgson said, it relates to our earlier discussion about coalitions of organisations working and campaigning together. As my noble and learned friend the Minister said when summing up that debate, it is important to get the balance right between not creating loopholes in the rules, or rules that can turn into avoidance measures and things like that. But we must balance that with not just allowing but recognising in many cases that it is a good thing for small and medium-sized charities, in particular, to work together in their important campaigning. That should not be made overly burdensome or difficult for them. The amendment proposed by my noble friend Lord Hodgson is a sensible way of allowing coalitions to nominate a lead charity to deal with the reporting requirements, and I look forward to hearing what my noble and learned friend the Minister has to say about this in his summing up.

[Baroness Hayter of Kentish Town]

On this side we very much support getting rid of red tape for small organisations. I think that it is tomorrow that the Joint Committee on the Government’s draft Deregulation Bill will produce its report, so it will be slightly ironic if there is that on the one hand and, on the other, we are regulating these small groups. I look forward to what may be the time when the Minister gives us a “yes” today.