Transparency of Donations and Loans etc. (Northern Ireland Political Parties) Order 2018

Lord Bew Excerpts

Tuesday 27th February 2018 Lords Chamber

[Lord Bew (CB)]

My Lords, I thank the Minister for his statement today and express my support for this proposed legislation. I declare my interest as chairman of the Committee on Standards in Public Life. In our fifth report, on The Funding of Political Parties in the United Kingdom in 1998, in our 13th report of 2011 and in a statement in April 2014, we called for the changes that the Government are finally bringing about.

From the point of view of transparency in our electoral law, this is a wise move: whether it has been delayed too long because of exaggerated fears about violence, I am not quite sure. It is useful to remember that, although at times we now hear people claiming that the peace process is on the verge of collapse, we all seem confident enough to do this, which would suggest that, whatever the tensions that arise out of Brexit, the peace process might not actually be on the verge of collapse.

I have one issue to raise that has already been alluded to by the noble Lords, Lord Tyler and Lord Browne of Belmont, and that is the issue of foreign donations. The truth of the matter is that our electoral law does not only impose a demand for transparency—and on this, we are now bringing Northern Ireland into line with the rest of the United Kingdom—but is opposed to foreign donations in principle, and we are bending it radically here. The Minister used the laconic phrase, “certain Irish citizens”. The point about this is that, as one of his predecessors from the Labour Party said at this Dispatch Box in the summer of 2007 in exactly this context, Ireland has a very capacious definition of its citizenry. It is a fact that you can be an Irish citizen living in New York city, having never set foot in Northern Ireland, and be contributing money under the terms of what we have agreed.

I completely understand the unease that the noble Baroness, Lady Suttie, and others have expressed about a particular donation connected to the Brexit campaign. That unease is entirely legitimate, but the truth is that it is really as nothing compared to the fact that we now have a situation in which the Government might conceivably fall, if the seven Sinn Féin Members turn up in Parliament, because of the votes of MPs who were elected with money from foreign sources. This is obviously a rather larger problem looming on the horizon. That is worth alluding to, because the reason why we have not in recent years—in both Houses of Parliament—been too concerned over this breaching of the principle on foreign donations has been to do with the fact that the Members of Parliament concerned do not actually turn up. We cannot assume that this will carry on for ever, and I think it is very unlikely that it will carry on for ever.

There are two problems: it is not only the Brexit donation. There is a point on the other side of the ledger, which is likely to be considerably more important and sensitive in the future. Can the Minister respond on what he means by “certain Irish citizens”? I accept that he has explained the terms under which they would give, but are we still in the framework, as the noble Lord, Lord Rooker, said 10 and a half years ago, of the capacious definition of Irish citizenship? If so, this is foreign donation in the normal sense that our law disapproves of strongly.

Although this is not a happy circumstance, the Government are right to, as it were, look the other way and tolerate it. We are in a very difficult moment with Brexit. There is great sensitivity among Irish nationalists that the balance of identity has been shifted against them in certain ways. I regard some of those fears as exaggerated, but it does not really matter; that is what is in their mind. The Government are quite right as part of their acknowledgement of the nationalist identity in Northern Ireland to leave the door open for certain Irish citizens to donate. However, they should say, “We are doing something quite remarkable here. We shouldn’t just stick it away in a corner. We are doing our best to be fair across the border in Northern Ireland and we are taking a bit of a risk which could be highly controversial. We are doing it because of our commitment to equality of esteem within Northern Ireland”. If one is going to make a concession at this point, there is no point in hiding it away; one might as well openly declare that the Government are doing something generous, risky and, in my opinion, absolutely right. However, they should say, “This is a broad-minded move on our part”.

[Baroness Harris of Richmond (LD)]

My Lords, as we have heard, the draft order provides for the full publication of donations and loans received after 1 July 2017, which is the bone of contention that we have with it. I absolutely agreed with my noble friends Lady Suttie and Lord Tyler, who outlined the problem so clearly.

All have to abide by the rules that govern information on political donations and loans in the rest of the UK, so Northern Ireland—which is still part of the UK, is it not?—must now abide by the same rules as everyone else. We are all obliged to publish such donations quarterly, so it is now time for Northern Ireland to do the same.

The real problem, of course, is when the measure should be imposed. The confidentiality clauses, arising out of fears of intimidation of donors, were always considered to be a temporary measure, and we can see that the people of Northern Ireland have always wanted transparency in this matter—but it appears that the two main political parties have felt otherwise.

In January 2017, all parties agreed to this measure. On these Benches, we have spoken many times—and certainly for as long as I have been a Member of this House and speaking on Northern Ireland matters; I am in my 19th year—about transparency being essential at the earliest possible time. It took a member of the Alliance Party in Northern Ireland, the former MLA for Belfast East, Naomi Long, to remove some of the severe restrictions about disclosure in 2014, in the Northern Ireland (Miscellaneous Provisions) Act, where the Secretary of State had the power to give the Electoral Commission permission to publish the details of individual donors if he or she felt it expedient to do so.

So it is safe to say that the Alliance Party has urged transparency for many years. I well remember dealing with legislation coming out of the Belfast agreement where these Benches echoed those views—but to no avail until now. I hope that it is accepted that all political parties in Northern Ireland now see the importance of transparency rather than using the old arguments against it.

This order, however, should be backdated to 2014, especially as we see the incredible lack of progress on any matters dealing with Northern Ireland. I am afraid that the DUP, in particular, cannot have it both ways: being a part of the UK but not wishing to abide by any laws that do not suit its particular brand of politics. When it suits the DUP to receive a huge donation of money—which, we understand, was not used in Northern Ireland during the referendum campaign —but not to have the legislation applied to a time before it accepted that donation, it is time to ask why the Government went along with this shabby and entirely political manoeuvre in allowing a later date for the order to be implemented. So will the Minister answer the questions from my noble friends Lady Suttie and Lord Tyler about when the Government intend to bring in the further legislation which will backdate this order to 2014, as strongly recommended by the Electoral Commission? We should be told.