Standards: Code of Conduct and Guide to the Rules

Bernard Jenkin Excerpts

Monday 12th December 2022 Commons Chamber

[Penny Mordaunt]

I thank my hon. Friend for his comments. He is right: the current situation is unacceptable and the Committee has a valid point. I hope that I will suggest a way in which we can address that. However, it is important to say that if we do it in the way that the Committee suggests, we will end up in some difficulty, which I shall explain.

First, we have extensively reviewed the existing guidance on transparency data. I have also audited each Department’s returns and sat down with the propriety and ethics team to look at ways in which we can improve the timeliness, quality and transparency of Ministers’ data and ease of access to it. The guidance, which we have reviewed, will be published online on GOV.UK for the first time. It commits Departments to publishing data within 90 days of the end of each quarterly reporting period. That is a modest, but necessary first step.

Our goal will be first to ensure that all Departments are complying with their current obligations consistently, as reflected in the new guidance as soon as it comes into effect. We will then look to move to a system of reporting that provides the parity that the Committee on Standards is seeking on transparency and timeliness. That means monthly reporting.

The Cabinet Office will also consider the alignment of ministerial returns with the House’s system and the frequency of publication, as part of the Government’s wider consideration of the Boardman and Committee on Standards in Public Life recommendations. It is reasonable to conclude that work by the start of the summer. My plan is therefore about three months’ adrift of that of the Committee on Standards.

The Government are fully committed to transparency and to ensuring that all Ministers are held to account for maintaining high standards of behaviour and upholding the highest standards of propriety, as the public rightly expect, but we need to avoid creating a system that delivers further confusion and unintended consequences. That is why I have outlined the alternative proposal from the Government today. I have worked closely with colleagues across Government to set out how we will improve our system, and if the Committee on Standards remains concerned, I commit to revisiting the issue and engaging with ministerial colleagues to drive further improvements.

[Sir Bernard Jenkin (Harwich and North Essex) (Con)]

I am grateful for the way in which the Leader of the House has engaged with the matter. The whole House understands that there are what a “Yes Minister” script would describe as “administrative difficulties” with recording ministerial interests in a timely manner. However, surely the objective should be—we had a lot of evidence about this—that a member of the public can find in one place where Members have registrable interests, whether they are Ministers or not. Could we end up with a system, even if it were just a reporting mechanism that put stuff on the register without obligation, whereby the Register of Members’ Financial Interests showed all ministerial declared interests as well as all other Members’ interests in one place? That is the sort of accountability and transparency that the public are entitled to expect.

[Penny Mordaunt]

My hon. Friend is absolutely right, and I have had those discussions with the propriety and ethics team. This needs to be taken in steps, and we have to get Departments producing the right data in a consistent fashion for that to happen, but I have already had discussions with them about how we would design a system that puts all this in one place. I am very clear that the objectives the Standards Committee have are that this information is as accessible as the Register of Members’ Financial Interests and on a par with the timing of the register. In amendment (b) the hon. Member for Rhondda proposes a system of reporting immediately in March, when this comes into effect, that the Whitehall machine will currently not be able to deliver on.

--- Later in debate ---

[Sir Bernard Jenkin (Harwich and North Essex) (Con)]

The former Leader of the House, my right hon. Friend the Member for South Northamptonshire (Dame Andrea Leadsom), might want to speak before me, Madam Deputy Speaker, but that is at your discretion. Thank you very much for calling me to speak.

It is important that the House understands that the Committee on Standards recognises what a huge amount of anxiety and tension the regulation of standards in the House of Commons can cause. The vast majority of Members strive—I was going to say “manfully”, but womanfully as well—to uphold the seven principles of public life and our standards, and to observe the rules. When I first joined the Committee, I was struck by how different the conversation is within the Committee from the conversation outside. I have argued forcefully that we need a much more intensive engagement and understanding between the Committee and Members so that the conversations in the Tea Room about what our code of conduct means are supportive and constructive, rather than fearful and about “How do I just stay out of trouble?” I am afraid that quite a lot of the conversation is about that.

The shadow Leader of the House would acknowledge that something that came out of last year’s debacle was the appeals process. The main contention at the time was that there was not a sufficient appeals process. There was a form of appeal, but when we had it reviewed by a retired judge, Sir Ernest Ryder, who looked at our processes and their compliance with article 6 of the European convention on human rights, it was found that our system could be made substantially better by introducing a completely separate appeal process. Had that appeal process existed last year, I do not think the debacle would have happened.

[Michael Fabricant]

Will my hon. Friend give way?

[Sir Bernard Jenkin]

I will, but I do not want to detain the House for long.

[Michael Fabricant]

I am grateful to my hon. Friend for giving way, and I totally agree with what he says. It was the appeals process that many of us objected to and, additionally, the fact that the commissioner gave her view on that case before the inquiry had begun. As it happened, I agreed with her view, but it is not for a judge to state it beforehand. That was, I think, the objection of most of us.

[Sir Bernard Jenkin]

My hon. Friend touches on a key change, which is that in the serious cases that come to the Committee on Standards, the commissioner will now present her findings, but will not present a conclusion. It will be for the Committee to adjudicate on the conclusion, and then for the subject of the inquiry to appeal that conclusion on various grounds to an Independent Expert Panel. That is a significant improvement, and it should significantly reduce the anxiety that Members felt about the system before.

There are only two other points I wish to make about the areas of contention. First, I argued very strongly for the changes to the descriptors of the seven principles of public life, because the bald descriptors of the seven principles on the Committee on Standards in Public Life website are difficult to translate into what we actually do as MPs. For example, selflessness—how do you become an MP if you are completely selfless? You have to advance your own interests. How do you have influence as an MP, unless you advance your own interests and you advance your publicity? Navigating selflessness as a Member of Parliament is a complicated business, and to anybody who says that it is easy to apply the seven principles of public life to all our activities, I say no. We are navigating a difficult landscape where we are constantly beset by conflicting values that we have to reconcile, and the idea is that these revised descriptors will help inform the conversation.

The idea that these descriptors will have a chilling effect on the free speech of Members is a nonsense, because the descriptors themselves have no force in the rules whatever. They simply are there for information and conversation and to help Members to think about how we apply the seven principles of public life. Indeed, any Member who has fallen foul of the rules who could argue in front of the commissioner, “Here are the seven principles of public life, and here are the descriptors, and I felt I was following these principles”, would certainly have a mitigation, in that they had thought about the principles they were seeking to uphold, but nevertheless had fallen foul of the rules. These descriptors are completely innocuous. They are designed to help Members, and I cannot for the life of me understand why the Government have decided to object to them. I do not understand the argument that my right hon. Friend the Leader of the House has presented.

We did not argue long and hard over the question of the declaration of ministerial interests. We would not be having this conversation if we had the situation described by my right hon. Friend, with timely, publicly accessible and regular declarations of ministerial interests on a par with the declarations that Members—non-Ministers —have to make as a matter of course in the Register of Members’ Financial Interests. I wish that we were not in this situation.

I have listened carefully to what my right hon. Friend has said, and I will listen further to the debate. I hope she is saying that this will be sorted out and that, in response to my earlier intervention, we will finish up with a member of the public being able to see on one register all the interests relating to that Member of Parliament, whether a Minister or not. I quite understand the anxiety about dual adjudication of the code and of the Parliamentary Commissioner for Standards. We do not want to get into a situation where—I do not think this is accurate, by the way—there is anxiety that the Parliamentary Commissioner will somehow be adjudicating on matters that are strictly for the ministerial code.

I will listen to this debate. I have added my name to the relevant amendment, but I may well conclude that if the Government need the time to sort this out, we should give them that time, and this would not be some dereliction or watering down of standards. I appreciate that the shadow Leader of the House has to make her points on behalf of the official Opposition, for perhaps not entirely selfless reasons. However, as long as we finish up with both sets of interests being declared within 30 days and the ability to have them all in one place on one website, so that any member of the public or journalist can see exactly what interests are being declared in the name of that Member, we would be in a much better place. I wish we could do that by agreement rather than by dividing the House, but I do not know that we can.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I call the SNP spokesperson.

--- Later in debate ---

[Chris Bryant (Rhondda) (Lab)]

The right hon. Member for South Northamptonshire (Dame Andrea Leadsom) knows that I agree with nearly everything that she has said, and in particular what she said about the Commission. Indeed, further to the point that was made earlier by my fellow member of the Committee, the hon. Member for Warrington South (Andy Carter), I think we on the Standards Committee would like to look more at the independent complaints and grievance scheme. We were conscious that when she set it up, part of the rationale was that MPs should not get their sticky fingers on this area of the work, so I feel as if I have been charged by her to carry on looking at this area of work. She and I have had quite a few conversations about this and, as she knows, I have some concerns of my own. It is important that we get this absolutely right.

[Sir Bernard Jenkin]

We need to remember that the ICGS came into being because Members of Parliament were not trusted to adjudicate on these matters. If the Committee is going to look at this, will the hon. Gentleman join me in making an undertaking that in no respect are we going to interfere with the process or the adjudication of cases, but that we are possibly going to look at the governance of the process and the governance of the scheme as a whole?

[Chris Bryant]

Absolutely; I completely concur with every single word that the hon. Gentleman has said, not only just now but in his speech earlier. He and the right hon. Member for South Northamptonshire have made the point that we are in the business not only of setting up rules but of trying to change the culture. That is normally a more difficult process, and I will come on to that.

If I might irritate the House briefly, a constituent has asked me to remind everyone that we pronounce “Rhondda” as “Rhontha”, with the “dd” sounding like a “th”. I apologise to everybody.

Advent is, as we know, a penitential season, and it was the 35th anniversary of my ordination as a priest last week, so let me start with my traditional confession that I am no better than any other Member in the House, with not just feet of clay but ankles, calves and thighs. I have to say that, as I look round the Chamber every day, I see colleagues of different stripes and from different parties who have made considerable contributions, often way beyond the call of duty, to our national life. Politics really is an honourable profession, but it is also true that the public want us to do better.

I am painfully aware that 18 Members of this House have been suspended or have withdrawn for a day or more during this Parliament. That is quite a significant number. That may in part be because we are getting our act together, and that things that were formerly swept under the Pugin carpet are now dealt with not secretly and behind closed doors but through a proper process. I am also conscious that on top of that we have 15 Members in the independent group who have been suspended from their political parties, and justice sometimes comes through these processes very slowly. That is not fair to complainants, and it is not fair to the Members either. I want to make sure that Members are entitled to fairness. That is why I want us to have a set of rules that is clear, simple and unambiguous, and it genuinely worries me, as I know it does the whole Committee, that we now have 12 separate bodies that regulate Members of Parliament, and that we are now even considering creating a 13th. Whether that is right, I hate to think. I am sightly conscious, however, that other countries have it even worse. The House ethics manual in the United States of America consists of 456 pages, so I think we have been remarkably concise.

I am grateful to the Committee, and especially to its lay members: Mehmuda Mian, Tammy Banks, Rita Dexter, Michael Maguire, Paul Thorogood and Victoria Smith, plus the former members who played a part in getting us to this point, Arun Midha and Jane Burgess. This has been a long, iterative process, and the hon. Member for Harwich and North Essex (Sir Bernard Jenkin)—who I sort of think of as the deputy Chair of the Committee—is absolutely right to suggest that the lay members often bring an insight, as we bring an insight to them, that results in a creative mix that is in the interests of the whole House.

Let me deal briefly with a few important changes that we are making as a result of today’s motion, because it is important that Members understand them. First, we are completely banning MPs from providing paid parliamentary advice, including providing or agreeing to provide services as a parliamentary adviser, consultant or strategist. I believe that that always was, effectively, selling the title of MP on the open market.

Secondly, we are requiring a Member who takes on an outside role to obtain a written contract or a written statement of particulars detailing their duties. The contract, or a separate letter of undertaking, must specify that the Member’s duties will not include lobbying Ministers, MPs or public officials on behalf of the employer, or providing paid parliamentary advice, and that the employer may not ask them to do so. I think that is a very good defence for a Member who takes on outside earnings.

Thirdly, we are significantly tightening the rules on conflicts of interest resulting from outside interests by extending, from six months to 12 months, the period during which an MP cannot engage in lobbying on a matter in which they have a financial interest.

Fourthly, we are closing the “serious wrong” loophole that Owen Paterson sought to exploit. From now on, if a Member wants to claim this exemption when approaching a Minister or official, they must show that any benefit to their client is merely incidental to the resolution of the wrong or injustice. They must state at the outset that they are providing evidence of a serious wrong, and they may not make repeated approaches, otherwise it just becomes a loophole through which they can drive a coach and horses. I am glad the Government now agree with us on that.

We are also ending the false distinction between a Member initiating and participating in a proceeding and an approach to a Minister or official where they have an outside financial interest. It is not enough simply to register and declare an outside interest. It is surely axiomatic that a Member who is in receipt of outside reward or consideration should not seek to confer a benefit through parliamentary or political means on the person or organisation providing that outside reward or consideration. That is paid advocacy and, as my hon. Friend the Member for Bristol West (Thangam Debbonaire) said, it has been banned in some shape or form since 1695.

I now turn to the matters on which the Government disagree with the Committee. First, like the other members of the Committee, I simply do not understand the Government’s argument on the Nolan principles. They have got it wrong, and it is not in the interests of the House or of individual Members to stick with the Government’s position. Acting on the advice of the Committee on Standards in Public Life, which originated the Nolan principles, the Standards Committee drafted and consulted on more detailed descriptions of the individual words—selflessness, integrity, objectivity, accountability, openness, honesty and leadership—as they apply specifically to Members of Parliament. Lord Evans, the chair of the Committee on Standards in Public Life, told us:

“We strongly support the idea that although the seven principles remain central and important for standards issues right across the public realm, they need to be interpreted for particular institutions and organisations.”

That is why, for instance, the police have gone down precisely this route and produced their own set of descriptions.

More importantly, the Nolan principles need fleshing out in a parliamentary situation. What does “selflessness” mean in the context of Parliament? I would argue that a Member cannot be entirely selfless, unless they renounce any form of payment, unless they travel to London every single day from their constituency, wherever it is in the land, and unless they eschew any ambition whatsoever. But if they have no ambition, would they want to come to Parliament in the first place?

We have written descriptions to help explain not only to us but to our constituents and to members of the public, who might be the people complaining about our behaviour, precisely how those principles apply to how we do our business. Put simply, I think the Standards Committee’s version is more helpful to MPs and the public than the Government’s version.

Secondly, I think ministerial declarations are a no-brainer. I understand the arguments, but I do not think they particularly wash with the public. I start from three basic principles. First, Ministers in the House of Commons owe their position to their membership of the House, and they are answerable to the House. Secondly, all MPs should be treated equally under the rules. And thirdly, the public have a right to know, as close to real time as possible, of any financial interests that might reasonably be thought to influence an MP’s speeches, actions, decisions or votes. As Ministers actually make decisions, whereas most of us in the Chamber just talk about other people’s decisions, transparency is even more important for them, not less important.

Following those principles, as my hon. Friend the Member for Bristol West said, the 1993 Select Committee on Members’ Interests—at around the time of cash for questions—concluded that

“Ministers are and should be subject to the House’s rules for the registration of financial interests in exactly the same way and to the same extent as all other Members of the House.”

That was the House rule under the Major Government. On the back of that, the new ministerial code in 1997, under Major and then under Blair, said that Ministers should register hospitality received in their capacity as a Minister in the House if it was

“on a scale or from a source which might reasonably be thought likely to influence Ministerial action.”

The 2007 ministerial code provided that ministers should register hospitality both with their permanent secretary and the House.

It was only in 2015—really quite late in the day—without any announcement, discussion or debate in the House, or any comment in a Select Committee report, that the rule was changed to grant Ministers in the code of conduct of this House an exemption from registering anything that they considered they had received in a ministerial capacity. The theory is, as the Leader of the House helpfully explained, that in exchange for that exemption, Ministers register through their Department any gifts, hospitality and travel that they have received in their ministerial capacity. That is published somewhere between three and nine months later, but without the value, which is a key point. That means that a member of the public cannot judge whether the hospitality was on a scale that might reasonably be thought likely to influence ministerial decisions.

The Committee, Transparency International, the Institute for Government, the Parliamentary Commissioner for Standards, the 1922 committee, the Labour Front Bench, the Scottish National party Front Bench, a substantial number of Ministers and I think that the system is manifestly unfair for the ordinary Back-Bench MP. They declare it all within 28 days and can be investigated and sanctioned if they fail to declare it correctly. However, the Minister’s declaration, without details, appears months later and cannot be investigated. It is not uncommon for a group of MPs—some of whom are Ministers and some are not—to go to the same event, which might cost more than £300. The Back-Bench MPs all declare it and the Daily Mail writes a story about it, but the Minister’s attendance is recorded nine months later and nobody notices. That seems somewhat unfair to me.

Incidentally, in answer to a point that the Leader of the House made, the Committee has said that the Government could set a lower threshold for further ministerial registrations if they wanted to—lower than £300 threshold in the House of Commons. However, it is worth pointing out that, though the ministerial threshold at the moment is said to be £140, since the Government do not publish the value of what is received, we have no idea whether that threshold is being met. I have been to events with Ministers that I have registered, but which the Minister has never subsequently registered anywhere.

I am not convinced that the system is working. I have a great deal of time for the Leader of the House. I love ministerial promises, especially when they come before Christmas and they talk about spring, but previous Leaders of the House have said to me that this would be sorted out by spring—a different spring. That spring has now sprung, and now we are into the winter. It seems extraordinary that Government Ministers will not be able to work out for themselves—not the Department —whether they have been to an event or received hospitality worth more than £300, and to register it in two minutes by sending a quick email to the registrar of interests in the House. I simply do not understand the logistical argument from the Leader of the House.

I urge colleagues to support my amendment, first, because the public expect full transparency and openness, and wonder what Ministers are trying to hide. Secondly, Ministers, in effect, now choose whether to register with the House or the Department. That does not make any sense at all. Thirdly, even if the Leader gets her way, the information will not all be in one place.

Fourthly, nobody presently or in future, so far as I can see, is expected to regulate or monitor the ministerial declarations. Fifthly, there are bizarre anomalies such as the previous Foreign Secretary, the right hon. Member for South West Norfolk (Elizabeth Truss), and the previous Home Secretary, the right hon. Member for Witham (Priti Patel), going to a Bond premiere, supposedly in their ministerial capacity because, as another Minister explained, James Bond exercises Executive functions. That argument simply undermines the whole system. I am not making that up, incidentally.

My next point is that this is the bare minimum that the public expect of us. I have had many emails, texts and helpful pieces of advice on Twitter saying that we should not be taking any hospitality or gifts whatsoever. If a person was working in local government or in most of the private sector today, they would have to declare everything. I do worry that sometimes our belief in our own exceptionalism, and Ministers’ belief in their own exceptionalism, grows with every extra day that we are an MP or a Minister.

Ministers have a habit of becoming ex-Ministers, but under the present rules, their registered interests do not come with them to the Register of Members’ Financial Interests. So if we stick with the Government’s proposals, they could easily and inadvertently fall foul of the new paid lobbying rules, which now apply for 12 months after the interest is accrued. They might have accrued the interest when a Minister, but then end up not being a Minister any more and wanting to lobby Ministers. They would be precluded from doing that, but then they would not have registered the interest with the House. That is yet another reason why it is simpler—far, far simpler—to return to the system that we had from 1997 to 2015, instituted by both Conservative and Labour Governments on the back of the cash for questions crisis, of treating all MPs equally.