Electoral Funding: Unincorporated Associations

Bill Grant Excerpts

Wednesday 27th February 2019 Westminster Hall

[Martin Docherty-Hughes]

No, I will not at the moment. I am going to make some progress, because I know we are short of time.

Let us be quite open: news outlets such as openDemocracy and the Ferret have documented how UAs and similar legal entities designed to obscure donations have been used to flood Scottish politics with cash. During the 2016 Holyrood election campaign that saw the Scottish Tories become the official second party, hundreds of thousands of pounds were funnelled through other organisations with an illegal remit such as the Irvine Unionist Club, the Scottish Unionist Association Trust, the Scottish Conservative Club and, of course, Focus on Scotland. Indeed, during the election to this place, in which Members from the other parties were elected, several elected candidates from the Scottish Conservative party accepted donations from opaque organisations.

Quite simply, I do not think it is befitting of our political system to continue with this type of ambiguity. In 2017, all my colleagues and I stood on a manifesto to enhance the powers of the Electoral Commission and increase the punishments available to it. The manifesto stated:

“SNP MPs will support new powers for the Electoral Commission, providing them with legal authority to investigate offences under the Representation of the People Act 1983. We will also support the Electoral Commission’s call to make higher sanctioning powers available to them, increasing the maximum penalty from £20,000 to £1,500,000.”

[Bill Grant (Ayr, Carrick and Cumnock) (Con)]

Will the hon. Gentleman give way?

[Martin Docherty-Hughes]

No. I think that we are all very rapidly—[Interruption.] If this is a debate, perhaps a member of the Democratic Unionist party should have been here, rather than members of the Scottish Conservative party.

[Colin Clark]

rose—

[Bill Grant]

rose—

[Martin Docherty-Hughes]

No. I think that we are all very rapidly—[Interruption.] One moment. I think that we are all very rapidly becoming aware, if we were not already, that the current regulations and various pieces of legislation that police our electoral system are being tested to the absolute limit, and most certainly at the wrong time.

In learning about the activities of shysters such as Richard Cook in our own political process, I was sadly reminded of some of the characters in the recently released book “Moneyland” by the investigative journalist Oliver Bullough. In that book, we see how the unscrupulous and corrupt have used the mechanisms of international finance and regulation effectively to create a place—Moneyland—that puts them outside the normal jurisdictions that mere mortals such as ourselves must live under. One of the more upsetting aspects of the book is the way in which this city has become the clearing house par excellence for both the money and the reputations of a whole host of unsavoury characters who see the banks, the legal services and a whole range of other civil society bodies and institutions as ready and willing to help them in that regard, and do not ask too many questions about it. [Interruption.] Not at the moment.

Ultimately, this is what Richard Cook has done with the CRC. He has used his reputation as a former chair of the Scottish Conservatives and as a former candidate in East Renfrewshire to create the appearance of probity in the organisation, while at every turn refusing to reveal the ultimate source of its donations or even who constitutes its membership. It would be interesting to hear from the Minister whether she is happy to see the reputation of her party being used for that purpose. Although I have many profound disagreements with the Conservative party on policy, I understand that, in terms of parliamentary democracy, its reputation affects the entirety of our political system, and I cannot for the life of me understand why anyone would be happy with those realities.

[Bill Grant]

Will the hon. Gentleman give way?

[Martin Docherty-Hughes]

No. This Government have undoubtedly allowed that to happen to our political system, with dark money now flooding unhindered through it. Dark money is a cancer in our political system, and unincorporated associations are the most prominent way in which that cancer enters the bloodstream. It is a malignancy that works by removing transparency and confidence in the system of political funding—something that undermines trust in the political system as a whole.