Paid Directorships and Consultancies (MPs)

Debate between Charlie Elphicke and Nick Raynsford

Wednesday 17th July 2013 Commons Chamber

[Mr Raynsford]

The hon. Gentleman has raised a specific issue and I will refer later to one or two circumstances that seem to me to be not well covered by the terms set out in the motion. I hope he will bear with me until I get there.

When I was in the voluntary sector, one of the observations often made by my colleagues working in the housing world was that MPs, as generalists, had only a limited knowledge and understanding of the often complex and technical rules that applied to their clients—members of the public—and the frequent refrain I heard was “If only they could spend time working with us, then they would better understand the issue.” I therefore want to emphasise at the outset the importance of not acting in ways that might inhibit or restrict proper links and relationships between MPs and the wider world.

The motion states that, as part of a regulatory framework for MPs’ second jobs, following the next general election no MP should be permitted to hold “paid directorships or consultancies.” It is not clear to me what the logic of that is. What is the difference between a paid directorship or consultancy and a contract to write a book or an article, or a payment for practising as a lawyer or a doctor, or a fee for providing a piece of expert advice? Is it the payment that is the problem? If so, the motion is far too narrow as it would leave open all kinds of opportunities for MPs to receive payment for remunerated activities other than those described as directorships or consultancies. If the problem is not the payment but is instead the relationship implied by the directorship or consultancy, why should a paid directorship of an organisation with a remit that clearly involves public interest objectives, such as the construction of social and affordable housing, be banned whereas a remunerated relationship other than a directorship or consultancy with a profit-making organisation pursuing entirely private interests would appear to be acceptable?

One of the arguments advanced by those who wish to curtail MPs’ outside interests is that the MP’s job is a full-time one and their constituents deserve their full-time attention. I wholly agree.

[Charlie Elphicke]

The right hon. Gentleman’s expertise in housing is well known. Does he find that he can bring that expertise to bear in the House?

[Mr Raynsford]

I thank the hon. Gentleman for his helpful intervention, and I was going to come to that point, although my time is very limited.

I wholly agree that MPs should be working assiduously for their constituents and putting in the necessary time to fulfil all their constituency and parliamentary responsibilities. In my experience the vast majority of MPs do that; they work hard and conscientiously, putting in far longer hours than would be expected in most other jobs.

Over my 20-plus years in this place, I have consistently worked very long hours, dealing with a huge volume of constituency correspondence, holding six advice surgeries every month, and sustaining a busy programme of visits and activities in the constituency. We all, I believe, try to do our best to represent our constituencies and constituents and are probably doing more such work today than at any time in Parliament’s history. My hon. Friend the Member for Hemsworth referred to Hugh Dalton in his introductory remarks. I am told that when Lord Palmerston was invited to become a Member by the landowner who controlled the constituency he was “elected” for, it was on the condition that he never, repeat never, appeared in the constituency.

Things have moved on a lot since then, but if it were truly suspected that MPs were not adequately pulling their weight, we ought to have measures to restrict the demands of their parliamentary second jobs such as Front-Bench and ministerial responsibilities or chairmanships of Select Committees. That would be absolutely absurd, and I genuinely do not think that it is an issue.

My final point is about the representativeness of this House. People have expressed real fears that we are increasingly becoming a professionalised House of Commons with fewer opportunities for people in mid-career to come into this House bringing expertise from outside. I fear this measure would accelerate that process.