Elections Bill (Eleventh sitting)

Cat Smith Excerpts

Committee stage
Tuesday 26th October 2021 Public Bill Committees

[Patrick Grady]

Like the Labour Front-Bench team, SNP Members have warned repeatedly about the chilling effect that the Bill as a whole will have on political participation. We have gone through the clauses that suppress turnout; we have gone through the clauses that weaken oversight of elections; and now we are on to clauses that will deter organisations with legitimate interests from contributing to debate and policy development, though that is what happens during general elections.

The intervention made by the hon. Member for Newcastle-under-Lyme was very telling. His point was that charities should be seen and not heard—the patrician attitude was that charities do beneficent works, helping poor unfortunate souls, maybe contributing to the Government’s levelling-up agenda, or maybe not, and while doing all the hard work must live with the consequences of the policies made by Governments of whatever colour. That includes SNP Governments in Scotland; there will be organisations that are highly critical of some aspects of SNP Government policy—but so they should be, as the point of a vibrant third sector is to contribute to policy debate.

Most charitable organisations that I have come into contact with in my professional career, both in that sector and as a politician, ultimately do not want to exist. They are there to solve problems, and they do so by providing immediate relief and support to people who require it, but they also want to tackle the underlying policies that have caused those problems. The best time to do that is at election time, when decisions are made and when power really is in the hands of the people and the voters. Of course those organisations want to seek pledges from individual politicians. They are not necessarily seeking to influence political parties as a whole. They are certainly not telling their supporters which party to vote for. First, they are not allowed to, but even if they were, they are not going to tell their supporters and donors which party to vote for, because by definition these are cross-party organisations that draw support from a wide range of people across society, and doing so would be counterproductive.

It is crucial for our democracy, however, to allow these organisations to encourage supporters and donors, educate the people who support their cause, and engage with decision makers. If that means extracting pledges from candidates on a constituency-by-constituency basis, then good for them. If that means that candidates from whatever party get elected and are then held to account for signing a pledge or supporting a policy in the election, so much the better. When we have mass lobby days here in Westminster—there are a few lined up this week, now that covid restrictions are easing—Members of Parliament from all the political parties come along to demonstrate their support for a charitable cause. Yes, sometimes there is weight in one direction or the other, but inevitably the best way to drive political change is to achieve cross-party consensus. That is what these organisations are often trying to do, but the clause will have the chilling effect of which the hon. Member for Putney spoke.

[Cat Smith (Lancaster and Fleetwood) (Lab)]

When we heard the intervention from the hon. Member for Newcastle-under-Lyme, was the hon. Gentleman reminded, as I was, of Desmond Tutu’s words:

“There comes a point where we need to stop just pulling people out of the river…We need to go upstream and find out why they’re falling in”?

Is that not the philosophy of the charities that the hon. Gentleman has worked with? Certainly the charities that I have worked with in my constituency want to stop people falling into the river upstream, rather than just keep fishing them out at the bottom.

[Patrick Grady]

Absolutely. Where are those decisions ultimately made? Here, in rooms like this one. We are engaging with charitable organisations on this Bill. We are being advised and lobbied on matters in the Bill by organisations that are making representations to us, have frontline experience, and are delivering in a whole range of sectors. We have heard from domestic organisations and from Bond, the international development network.

I am sure all Committee members have diligently read the written evidence submitted by Bond, EB14. I strongly encourage them to do so, because it explains the challenges and difficulties faced by these organisations, which are having to comply with election registration regulations and reporting requirements, and finding it incredibly difficult. There is evidence in that document—we heard it from the hon. Member for Putney as well—that many organisations are already choosing simply to step back, so their voices are not being heard. That goes back to the narrative of what exactly the Bill is trying to achieve, in terms of suppressing debate and political participation in this country.

Although clause 24 is not quite as draconian as clause 23, it is still pretty oppressive. Amendment 96, tabled by the SNP, could achieve much the same as the Labour party amendments in exempting registered charities from these incredibly stringent new reporting requirements. The threshold of £10,000 could easily be reached once everything that had to be calculated was taken into account, such as staff time, resources, and collaboration with other organisations.

It would be easy to hit that threshold, potentially unexpectedly. The charity would then face another burden if it was sanctioned. There have been examples, referred to in the written evidence, of charities that inadvertently crossed the threshold and did not report that appropriately, and then faced fines. That is fair enough, if that is the regime, but it is another cost. That is money that people have given to those charities. It might be taxpayers’ money, received through gift aid, that has to be spent on fines, compliance and regulation, deterring the charity from political participation and delivery of frontline services, when it already exists in a rightly strong and tightly regulated environment.

The Government should accept the amendments. If they genuinely believe in levelling up, surely they want to hear from organisations that have frontline experience of the difficulties and challenges being faced by ordinary people day to day, and that are identifying solutions that will help to raise standards in society and level up. In fact, we are seeing a levelling down, suppression of debate, sticking with the status quo, and a message not to challenge anything coming from the Government who happen to be in power now.

We have learned in this Committee and in others that the chances of an amendment succeeding are middling to none. Nevertheless, I look forward to the Minister’s response to my points.

--- Later in debate ---

[Kemi Badenoch]

Yes, but the fact is they are not very common. Every single one of us in this room is in the same situation. I was elected in 2017. I did not know that a snap election was going to be called. I am afraid that what Opposition Members are asking for is the Fixed-term Parliaments Act 2011, which is not within the scope of what we are discussing. Debates on the clause are not the place to discuss certainty around election time, if that is what Opposition Members want. The clause is about regulating political finance transparency.

The fundamental point made by Opposition Members is that clause 24 creates an undue administrative burden for charities and community interest companies, but it does not do that. They can easily supply the relevant information.

[Cat Smith]

Can the Minister answer a very simple question? Will there be a UK general election by 26 October 2022? That is 12 months from today.

[Kemi Badenoch]

The hon. Lady knows that I cannot answer any questions about when elections are forthcoming. That does not change the premise of our argument. I do not know; she does not know; charities do not know; no third party campaigners know. The law is equal for everybody. I am afraid we simply do not accept the argument that there should be special rules and exemptions for particular groups.

Charities can supply the relevant information, and the amendment would increase the administrative burden for the Electoral Commission—a point it has made several times—and not allow it to obtain all the necessary information covered in the notification requirements. Under the amendment, charities and community interest companies would not have to provide the name of a responsible person. That information cannot be obtained through Companies House or the Charity Commission because it is specific to electoral law.

It is important to identify a person who will be responsible for ensuring compliance with electoral law. Naming a responsible person also acts to protect third parties from being liable for expenditure that has not been authorised by that person. Allowing charities and community interest companies to be exempt from that requirement would risk their duty of compliance and protection falling away, which would not be right. In the light of the reasons I have given, and the minimal burden on charities that the measures will generate, we oppose the amendment.

--- Later in debate ---

[Kemi Badenoch]

That is not what we are legislating on; that is a statement of fact. Just as with every intervention the hon. Gentleman has made, it is a point we all acknowledge that while elections are at expected times, they can happen at different times: earlier or there may be snap elections, though rare. That does not change the fundamental point under discussion.

Opposition Members seem to be annoyed that there is a regulated spending period at all. I am afraid that that is not going to change. Campaigning and political activity, which can occur up to 12 months or more in advance of an election, may have a significant influence on its outcome. Having a short regulated period, as proposed by the amendment, would mean that spending, which does influence the electorate, is likely to fall away from being regulated and reported. That fatally undermines the principle of transparency and spending limits.

[Cat Smith]

On the point about transparency, does the Minister not recognise that the Government are not being transparent with charities or third party campaigners? How are they ever meant to know when the regulated spend period is kicking in when we do not have scheduled, regular general elections for the UK Parliament because of legislation we already passed a couple of months ago? Does the Minister agree that we are asking charities, which are blindfolded, to make decisions with no idea when an election will take place? The amendment is the only way we can treat all third party campaigners fairly and give them any sense of transparency. Can the Minister see that the Government are a little inconsistent on the point about transparency?

[Kemi Badenoch]

I do not think so at all. In the previous clause, we made the situation equal for everybody. The Opposition are talking as if there is a secret conspiracy where everybody knows, other than them, when an election is going to be called. We are applying the law equally to everybody. That is right and I am happy to continue making the argument.

--- Later in debate ---

[Kemi Badenoch]

I have already given way multiple times and we need to proceed. There are other more important reasons why the amendment simply cannot pass.

Under the terms of the amendment, third party campaigners would be able to incur spending beyond their current limit, prior to the poll being officially set, and still be able to influence the electorate. That would give a potential advantage to those with access to greater funds, and thus also undermine the fundamental democratic principle that there should be a level playing field for all those taking part in elections. That would apply to all third party campaigners, whether on the Government’s side or the Opposition’s. That is the fairness about which the hon. Lady is talking. In addition, donations of third party campaigners are regulated only where they are used for controlled expenditure during a regulated period. That ensures that donations that are spent to influence the electorate in the period before an election come from permissible sources and are fully transparent. This is a regulated period amendment and we are not talking about charities.

A shorter regulated period would allow third party campaigners to accept and spend donations from potentially impermissible sources in the run-up to an election, and do so without being subject to transparency controls, as long as those donations were spent before the regulated period began. That risks unchecked money being used to influence the outcome of an election.

[Cat Smith]

Can the Minister confirm for the benefit of the charities that are watching our proceedings that we are not currently in a regulated spend period?

[Kemi Badenoch]

I have answered that question already.

The amendment, as drafted, does not achieve the aims set out in the accompanying explanatory memorandum. Although the memorandum suggests that the amendment would limit

“regulated periods for UK Parliamentary General Elections to the period between the announcement of the election and the close of polls”,

that is not correct. It makes changes to section 85 of the Political Parties, Elections and Referendums Act 2000, which provides a definition for what constitutes controlled expenditure, namely spending incurred by third party campaigners at relevant elections, not just UK parliamentary elections, which can be regulated. The amendment does not amend the length of the regulated period, but rather creates an additional time period over which controlled expenditure is regulated. That would cause confusion to third parties as to which time applies.

The amendment would also create disparity between the rules for third party campaigners and the controls on political parties, which would still have a twelve-month regulated period, known as the relevant period. The proposed change would therefore also have the effect of making regulated periods for UK parliamentary elections significantly shorter than those for the devolved Parliaments, whose regulated periods would remain at four months. The amendment therefore should not stand because it would undermine the principles of controls and transparency that are placed on election funding and spending, and it would create confusion and disparity.

Question put, That the amendment be made.

--- Later in debate ---

[The Chair]

I have agreed that the hon. Member for Lancaster and Fleetwood can make her remarks while seated.

[Cat Smith]

Thank you, Mr Pritchard. I welcome not just clause 26, but the whole of part 5 of the legislation. As shadow democracy Minister, I have had the unfortunate pleasure of having to take part in many debates about intimidation of candidates; I am sure all Members will be aware of some of the accounts.

We know that many of our colleagues are intimidated, and many candidates of our party have experienced intimidation and threats. It is devastating that we should be debating this clause so soon after the murder of our colleague, Sir David Amess, who was on the Panel of Chairs and chaired many debates on issues like this. I must be honest: I did not expect when I stood for election in 2015 that I would lose two colleagues to murder in such a short space of time. An attack on an MP, and an attack on a candidate, is an attack on democracy. The Opposition therefore welcome part 5 of the Bill.

I am making remarks about clauses 26 to 34 so that I do not have to bother for future clauses. My only concern is that some of the legislation does not go far enough. Many of the people who might go on to intimidate candidates, agents or campaigners might not be put off by the idea of not being able to stand for elected office for five years, because many of the people who commit these crimes are not interested in participating in our democratic processes—they are, in fact, opposed to the democratic process in its entirety.

As the Minister finds her feet in this new role, I would be very happy to open a dialogue with her to explore ways in which there might be a consensus across the House to ensure that our democracy, which we all take part in and support, can be strengthened so that we do not see the acts of violence and intimidation that we have seen in recent years deter good people from entering public life.

Question put and agreed to.

Clause 26 accordingly ordered to stand part of the Bill.

Schedule 8 agreed to.

Clause 27

Vacation of office etc

Question proposed, That the clause stand part of the Bill.

[Kemi Badenoch]

While those in public life are often the targets of intimidation and abuse, I regret to say that they can also be the perpetrators of intimidation and abuse. For example, it is possible that an MP or a local authority mayor or councillor will be sanctioned by the new intimidation disqualification order. They will be treated no differently from anybody else and will be disqualified from holding elected office.

The clause sets out the process by which the office holder’s office is vacated; this is no more than three months after the officeholder receives the intimidation disqualification order. During the period prior to the office being vacated, the officeholder is suspended from performing the functions of their office. However, if the officeholder makes a successful appeal against their conviction or sentence before that three-month period ends, the office is not vacated and consequently they can resume their office.

The process strikes the correct balance between, on the one hand, the right of an offender to appeal and, on the other, the smooth vacation of office and a swift resolution. A swift resolution provides certainty for electors and ensures that there is an office holder in place who can discharge the responsibilities of that office. This is also consistent with the existing process for vacating office outlined in the Representation of the People Act 1983.

Question put and agreed to.

Clause 27 accordingly ordered to stand part of the Bill.

Clause 28

Candidates etc