National Security Bill Debate

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Department: Home Office
Chris Bryant Portrait Sir Chris Bryant (Rhondda) (Lab)
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But earlier the Minister was praying in aid Lord Carlile, saying what a wonderful job he had done in helping the Government to bring forward wonderful amendments. This is one of his amendments, so it seems a bit odd to turn against this one.

On the point the Minister just made about permissible donors, all that has to be checked is whether the person is on the electoral register. The Elections Act 2022 has added to the register 3.5 million people who do not even live in this country. All that political parties presently have to do is check whether somebody is on the electoral register. I do not think that safeguards our elections from interference from those who would wish us ill.

Tom Tugendhat Portrait Tom Tugendhat
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The hon. Member has formerly been very kind about the work that we have done together, such as on the Foreign Affairs Committee and on other appointments. He has agreed with me on some areas and disagreed on others. It cannot be an enormous surprise to him that I agree with Lord Carlile on some areas and disagree with him on others. Frankly, that is the nature of parliamentary work, as the hon. Gentleman knows better than anyone.

As for the hon. Gentleman’s point about foreign registrations, those are of British citizens living abroad. Those are the only terms on which people are registered to vote on our electoral register. It is not right to say that those are a random 3.5 million people; that is certainly not true. They are British citizens and therefore their donations are as valid as their votes.

The Government recognise that there are risks. That is why it is already an offence to attempt to make a donation by concealing information, giving false information or knowingly facilitating the making of an impermissible donation. Where the foreign power condition is met in relation to a relevant electoral offence, as set out in schedule 1 to the Bill, clause 16 provides for a substantially increased maximum penalty: where a one-year sentence previously applied, that has been increased to four years; and two-year sentences have been increased to seven years. These relevant electoral offences include offences of undue influence, for which the maximum sentence has been increased to seven years, and making a false declaration about the source of a donation, for which the maximum sentence has been increased to four years.

Indeed, the Government have already taken action. The Elections Act 2022 tightened the law to close loopholes on foreign spending. The Electoral Commission is also being given more powers to access Companies House information, through measures under the Economic Crime and Corporate Transparency Bill. That will allow the Electoral Commission to undertake the proper targeted and proportionate checks.

For absolute clarity, donations to political parties from foreign powers, made directly or indirectly, are not permissible. The amendment places new requirements on minor parties, who are not subject to any other financial reporting requirements at this time, as they can contest only local and parish elections. The amendment would therefore place huge administrative burdens on small, grassroots political campaigning and would punish grassroots democracy.

It is not clear how the proposals would work in practice. Political parties are not banks; rightly, they do not have access to individuals’ financial records. They are not His Majesty’s Revenue and Customs; they do not have access to tax records. They do have access to the electoral roll and to Companies House, which they are already obliged to check. The Electoral Commission already publishes guidance on these legal duties. Indeed, political parties must already report all larger donations to the Electoral Commission, which are then published online for public scrutiny.

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Having listened to the debate, I cannot for the life of me understand why the Government are not backing Lords amendment 22. We might come to it again at a later stage—although I am not sure whether any ping-pong will take place—but if we do not do it in this Bill, we will have to address the implementation of a risk management approach at some stage in the coming period.
Chris Bryant Portrait Sir Chris Bryant
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I start where my right hon. Friend the Member for Hayes and Harlington (John McDonnell) finished. I am completely perplexed about why the Minister is holding out against Lords amendment 22, not least because he told Insider last year that it was “perfectly legitimate” to criticise political parties for accepting donations “that are not clear”. He made it absolutely clear at the time that he supported the idea of legislation to require political parties to be clear about where their funding was coming from. To be fair to him, that was obviously not when he was a Government Minister, and he has now fallen among thieves. I preferred the old version of the Minister, and I hope that, in our discussions over the next few minutes, we can manage to persuade him to return to proper form.

The pedigree for Lords amendment 22 is phenomenally strong, as has been said. Not only have Lord Carlile and Lord Evans—the chair of the Committee on Standards in Public Life and a former head of MI5—called directly for such provisions, but as I understand from her comments, Baroness Manningham-Buller also supported Lords amendment 22, as did Lord West, all the members of the ISC, Spotlight on Corruption, the Committee on Standards in Public Life, and, of course, the Electoral Commission.

The Electoral Commission wrote directly to the Minister last year to say that it would surely be wrong not to change the law so that political parties can accept donations from companies that have made enough money in the UK to fund the amount of their donation. One would think that that stands to reason. One would also think that it stands to reason, as the commission also argued, that political parties should be required to check not just whether someone is a permissible donor in the sense of being on the electoral register, but whether they have enough money of their own to be able to fund the political party to the extent proposed. That is just due diligence, but there are phenomenal loopholes in the law.

The Minister is normally a very polite and generous man, but I understand that he has still not replied to the Electoral Commission on this matter, and the commission has complained about this. In this area, as he knows perfectly well from our work on the Foreign Affairs Committee, complacency serves us ill. One need only look at the sad trajectory of the tier 1 visa system—the golden visa. When the report was finally produced it showed that we had given visas to live in the UK and make their permanent residence here to people we ended up sanctioning because they were so closely related to the Putin regime. The 2020 Russia report from the ISC—it should have been the 2019 Russia report, but the then Prime Minister did not allow it to be published before the general election—made it very clear that Russia and perhaps other state actors had been intent on affecting elections and referendums in this country, and urged us not to be complacent.

There are authoritarian state actors who wish us ill. They rely on the openness of our political system, on our open system of governance in the City, on the fact that contracts can be enforced, and on our open judicial system. They rely on all of that and, I would argue, on our complacency to be able to do their nefarious work in the UK. There is a flaw in the Political Parties, Elections and Referendums Act 2000: the concept of “permissible donor” is too tightly drawn. Surely any political party and any person trying to secure donations from a third party would want to ensure that the money they received was not tainted by human rights abuses in another country, by authoritarian acts from another country or, frankly, by malign influence by a third party state actor.

The position is made worse by the Elections Act 2022 adding to the registers 3.5 million overseas voters who pay, or who may pay, no tax in the UK, and who may have next to no relationship with the authorities in this country—it is necessarily very difficult to track that information down. What should a party do if it is offered a donation of, let us say, £50,000 by somebody who lives and works in Moscow today? The law says the party need not do anything, as long as the individual is on the electoral register. Surely, though, we do not think that that is right or appropriate. I want further checks to be in place. The provisions in the amendment are so minimal—absolutely the minimum that we have to do to make sure that political parties in this country do the basics.

I said there is a flaw—perhaps a fissure—in PPERA, but I am starting to worry that the Government want that loophole to exist. If they do not, I simply do not understand why the Minister is holding out on this point. I hope the Minister will change his mind on this minimal requirement and support Lords amendment 22. If we end up voting it down, I hope their lordships will throw it back to us. For more than a decade now, we have left the door wide open to political interference in our system in this country. It is time we slammed it shut.

Tom Tugendhat Portrait Tom Tugendhat
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First, I thank the hon. Member for Halifax (Holly Lynch) for the contribution she made and the spirit in which she has approached these debates. She is absolutely right to talk about Caoilfhionn Gallagher and Jimmy Lai and to highlight the many issues that she did. Such matters unite us; another is the fact that this Government, like every Member of this House, I am sure, remain absolutely committed to the UN convention against torture and other cruel, inhuman or degrading treatment or punishment. There is absolutely nothing in this Bill, or in any other Bill that this Government are bringing forward, that would in any way undermine our obligations or the seriousness with which we treat torture as it is practised, sadly too frequently, around the world. Although I hear what the right hon. Member for Orkney and Shetland (Mr Carmichael), my right hon. Friend the Member for Haltemprice and Howden (Mr Davis) and the hon. and gallant Member for Barnsley Central (Dan Jarvis) say, there is quite literally nothing in the Bill that would give rise to the need for amendment (c) to Lords amendment.

The point made by the right hon. Member for Orkney and Shetland about Lord Pannick, however, was entirely fair. A letter should have gone back to him. In fact, the point was made and the answer given in the form of amendments to clause 3 that address his concern about the carve-out for lawyers. Although I agree that I should have written, the reality is that I addressed the points Lord Pannick raised in the Bill itself.

The matter of foreign donations has been raised again. The reality is that we have to treat British citizens like British citizens. The idea that we can treat British citizens differently depending on how we feel about them seems to me to be rather a bad way of making law, but that does not mean that political parties have to treat British citizens exactly alike. Surely the rule here is: just because you can does not mean you should. There are many donations, and perhaps many individuals making them, that many of us would not wish to accept. The point about politics is that it is about decisions, judgment and choices, and while the law has to apply to everyone equally, we as politicians and as political parties are not so obliged. We have to make judgments and decisions, and we have to carry our reputations and the reputations of our organisations with us when we make those calls.

On the changes to the MOU that the ISC suggested, my right hon. Friend the Member for New Forest East (Sir Julian Lewis) had the opportunity to give me the power to make those changes, but I am not the Prime Minister, so I cannot do so. The Prime Minister will have to make that decision, but I will raise the matter again with his office, because my right hon. Friend’s points were well made.

I have heard many comments about the Official Secrets Act 1989. The nature of this reform is complex and there are many and various arguments because this piece of legislation ties into so many others. I will not give my right hon. Friend the Member for Beckenham (Bob Stewart) a commitment to act in this Parliament—he will understand that more work is required. As for my ability to make commitments into the next Session, he tempts me too far.

I am glad to hear that the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East (Stuart C. McDonald) has achieved the great honour of being treasurer of the Scottish National party. I hope it comes with a caravan and that he is enjoying the touring that that affords him.

My right hon. and learned Friend the Member for Kenilworth and Southam (Sir Jeremy Wright) raises many good points. The reality is that these challenges must be addressed as a whole and require further discussion, so I am very grateful for his time.