Elections Bill Debate

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Department: Cabinet Office
Baroness Barker Portrait Baroness Barker (LD)
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My Lords, I will follow up on the remarks of the noble Lord, Lord Khan. It is quite puzzling to see how extensive a problem it could be to have entities registered as both political parties and third parties. Indeed, when the noble Lord, Lord Hodgson of Astley Abbotts, did his review of the legislation governing third-party campaigning, he said specifically that he did not see this as a significant problem.

I would like to ask the Minister when he comes to reply whether that situation has changed because of the increase in digital campaigning and therefore ask how this would be monitored and enforced. Whose responsibility would it be? Presumably it would be the Electoral Commission’s, but would it require a new set of digital enforcement measures that it has not had previously?

The other issue that I would like to probe is what engagement there will be with entities that might fall into this category. It is not at all clear to me from the Bill where this proposal has come from and how it is envisaged it will work. I think there is considerable concern among non-party campaigners out there which are small entities that they might fall foul of this when not doing anything intentionally wrong. It would be very helpful if the Minister could tell us the extent of the problem that has led to this having to be put into primary legislation.

Lord True Portrait The Minister of State, Cabinet Office (Lord True) (Con)
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I thank noble Lords who have contributed to this short debate. Our view is that no group or individual should have access to multiple spending limits at an election. Spending limits exist to ensure that there is a level playing field, a concept that I think we have agreed on already in this Committee, and any opportunities to unfairly expand spending limits should be removed.

The noble Lord opposite asked about specific examples. What is propelling the legislation is principle but, obviously, there is the case from the 2019 UK parliamentary general election when a group claimed that it could do that—that is, expand spending limits by registering both as a political party and as a third-party campaigner. The organisation that we have in mind is Advance Together, which was used to sidestep election spending rules. It registered both as a political party and as a third-party campaigner, effectively to double its spending limits. I do not want to go too deeply into the motivations there, but that organisation ran negative attack campaigns against incumbent MPs who were supporters of Brexit in five target constituencies. It was mainly staffed by former Liberal Democrats seeking to stop Brexit. Indeed, they admitted on Twitter:

“Our candidates are there to be tactical. Not to win.”


Whatever the politics, this was a clear abuse of third-party local spending limits, which are limited to £700 per constituency under the RPA. That dual registration leap-frogged the £700 third-party spending limit in the constituency, allowing the third party to spend the higher candidate limit locally, and obviously to benefit from the national third-party spending thresholds. It is hard to believe that many groups would wish to circumvent the rules in this way, but I think noble Lords would agree that it is probably best to be prudent in this regard.

Lord Collins of Highbury Portrait Lord Collins of Highbury (Lab)
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Just out of interest, with the application for registration as a political party, was there an awareness of the other application as a third party? Did that not get questioned, and could not the existing rules have addressed the issue? Were the two registrations just allowed to take place?

Lord True Portrait Lord True (Con)
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I would have to be advised on that matter. I understand where the noble Lord is coming from, because I agree that it is hard to believe that a group would want to proceed in that way. I shall share with the Committee what information is available on this.

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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We on these Benches are totally unaware of this organisation, but I am glad to hear that it was staffed by Liberal Democrats. I am sure the Minister would expect it to be a dastardly Liberal Democrat plot, but I am completely unaware of it. Could his private office provide us with some information and background—there must be some—to inform us of the case, how serious it was and how it was dealt with? It somehow did not hit the Sunday Times on my Sunday morning, just before I got to my allotment.

Lord True Portrait Lord True (Con)
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The noble Lord will be taken to task for not reading the Observer if he keeps coming out with his Sunday morning reading. I was not there and the Government were not there but, looking at the empirical record, we believe that this was a prima facie case. I can report only what information I have: that it was staffed by former Liberal Democrats and operated in five target Liberal Democrat constituencies, but I accept the noble Lord’s assurance that he knew nothing about it.

The clause that we have put in the Bill will prohibit recognised third-party campaigners registering as political parties and gaining access to a spending limit for each registration. The list of individuals and entities permitted to be on the third-party campaigner register will also be amended to remove political parties.

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Moved by
33: Clause 24, page 33, line 26, after “during a” insert “reserved”
Member’s explanatory statement
The amendments in Lord True’s name relating to Clause 24 restrict the provision made by that clause, so that it applies only in relation to periods involving parliamentary general elections or general elections to the Northern Ireland Assembly.
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Lord Collins of Highbury Portrait Lord Collins of Highbury (Lab)
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I thank the noble Lord, Lord Hodgson, for introducing these amendments at this stage. I know that we will have further debates but, like him, I think it is really important to set this in context. I am grateful to my noble friend Lady Lister for doing so. She has an incredible record of promoting civil society and action groups focused on particular issues. I know from my own experience that civil society activity is really important; one of the most important groups I have participated in is one that my party, the Conservative Party and other political parties were a bit uncomfortable dealing with—LGBT rights. It took a civil society, cross-party campaign to change things and influence manifestos.

I said at Second Reading that a thriving democracy is not limited to Parliaments and parliamentarians. Countries that fail to protect their citizens force civil society to stand up for them and defend human rights. That is really important. The noble Lord, Lord Hodgson, and my noble friend, who was more explicit, talked about that chilling effect. That is what we must look at. Perhaps it is even an unintended consequence. However, it is a simple fact that we do not know the date of the general election; it is in the gift of the Prime Minister to set, and sometimes it can be a long campaign and sometimes it can be short. We do not want those civil society organisations campaigning throughout a five-year period, raising issues such as child poverty, to stand back because they fear that they might be caught in this regulated period.

I agree with my noble friend that the simplest solution is to say that the regulated period should start when a general election officially starts, but I will compromise with the noble Lord, Lord Hodgson, on four months. Importantly, in some of his later amendments we will come to issues such as defining what might reasonably be regarded as campaigning, which he rightly raised. I agree about a code of practice being brought before Parliament.

Even if the Minister cannot accept these amendments today—I have no doubt that he cannot—I hope he will take away that this will have an impact on civil society that will impact negatively on our democratic activity. I hope the Government will listen to both the noble Lord and my noble friend Lady Lister.

Lord True Portrait Lord True (Con)
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My Lords, I fear I cannot be as accommodating with these amendments as with some earlier ones on which I invited further discussion. However, I say to my noble friend Lord Hodgson that there are parts later in the Bill where I hope we may be able to have fruitful conversations. However, those are for a future day.

I accept that there is a balance to be struck in these matters, but starting, illogically, with my noble friend’s Amendment 39—I suppose that is the upside-down, Whitehall way of looking at things—on reducing the length of the regulated period, I am sure many would agree that any campaigning up to 12 months before a parliamentary general election could have a significant influence on its outcome. This is not a new principle, nor has it come in since the Fixed-term Parliaments Act. The principle of 12-month regulatory periods has been in place for over 20 years, in which period civil society groups, including the group the noble Lord, Lord Collins, referred to—I nearly called him my noble friend—have been able to be very effective and move mountains within the electoral system.

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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The Minister referred to the established 12-month period. I was not aware of it as an established principle. Perhaps now or in a letter, the Minister will tell us when it was established, how long it has been in effect and how it has been tried and tested, since he is so good at telling us that.

Lord True Portrait Lord True (Con)
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My Lords, I will stand corrected if it is not the case, but the principle of a 12-month regulatory period has been in place for more than 20 years. That is the advice I have and if I am wrong, I will gladly correct that; no doubt my noble friend behind me will correct me very fast.

The closely related Amendment 33A seeks to create an exemption from expenditure rules for third-party exempt campaigners where they could not reasonably be expected to be aware that they were campaigning during a regulated election period. One understands the arguments that were put, but regulated periods have been in place for years. Third parties engaging in election campaigning should be aware of the rules and of the existence of regulated periods. However, the Electoral Commission has produced extensive guidance to help third parties understand the rules. It states:

“Most campaign activity undertaken before an election is announced is unlikely to meet the purpose test”.


It is an important test that is specifically intended to protect civil society, because

“you are unlikely to be reasonably regarded as intending to influence people to vote in an election when you do not know or expect that the election is happening.”

I have heard arguments around the corner of that, but the basic principle of the purpose test is there, and therefore the Government do not accept the idea that regulated periods for third parties are overly burdensome. It is important that spending is regulated and transparent and it is right that spending that promotes a political party in the lead-up to an election is regulated, whether that is undertaken by the party itself or by a third-party campaigner. Therefore, with great respect, I fear that I cannot accept my noble friend’s amendment and ask him to withdraw it.

Lord Hodgson of Astley Abbotts Portrait Lord Hodgson of Astley Abbotts (Con)
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I thank noble Lords who have participated in this debate. The noble Baroness, Lady Lister of Burtersett, and I can disagree violently, have done and will no doubt do so again in the future, but sometimes we can agree violently, and I am glad that tonight is one of the evenings when we do. I thank her for coming along at 9.20 pm to lend her support. The noble Lord, Lord Wallace of Saltaire, is quite right to remind us that third-party campaigners can be self-regarding and feel that they are by definition good. They are not all good, and we always need to bear that in mind. As I have said before, they are not populated entirely by angels. The noble Lord, Lord Collins, made a point about inadvertently catching people who are trying to do their best, but it all goes wrong.

I would not be happy about linking this to the calling of a general election. Some general elections come out of blue, but usually there is a period of electoral tension building up, and that is when efforts that would be part of electoral campaigning mode could be made. Not always, but most of the time, elections build up a bit and you know a month or two beforehand that something is likely to happen. That is why I think that four months is the right period.

However, my noble friend is not going to accept these proposals. He is entirely right to say that the Electoral Commission has worked hard on guidance. This takes us back to the old question of whether the guidance will hold true when something goes wrong—but the commission has tried very hard and I want to put that on the record.

As far as the period is concerned, 2014 made it the law; before that, it was practice. I, too, stand to be corrected. It had been understood that a year was about the time we should be keeping an eye open but, from the 2014 Act, it was the law. I can only say that “What we have, we hold” is not always a good answer. I do not think that it is a good answer here but, for the time being, I beg leave to withdraw the amendment.

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Moved by
34: Clause 24, page 33, line 32, after “during a” insert “reserved”
Member’s explanatory statement
See the explanatory statement relating to the amendment in Lord True’s name at page 33, line 26.
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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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My Lords, may I ask the Minister a question? I do not entirely understand this clause and the unincorporated association element is the least clear to me. I googled “unincorporated association” this morning and came away more confused than when I started. I think we would all be very grateful if the Minister’s office could circulate a letter explaining why this is there, what sort of organisations they have in mind, whether there is a history or problems with unincorporated associations and, if so, what they were, so that we have some idea of why this is necessary. I get a sense from others who have spoken that we are puzzled by where this clause is coming from, why it is there and what it is intended to do.

Lord True Portrait Lord True (Con)
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My Lords, I have to confess that I irritate my wonderful team in the Box when I say—and this of course plays straight into the attack—why is this not a consolidation Act? Of course, in the great scheme of things, consolidation Acts on all sorts of things would be wonderful. As I have said, this is intended to be a reforming Act dealing with some matters which are relatively urgent, but I agree that the way that it operates is relatively opaque and I understand why noble Lords have asked these questions.

Like others, I am not going to stray into Clause 25, although I realise there is an interrelation between the two. I know from the engagement I have had with colleagues on all Benches that Clause 25 is an issue which the House wants to consider in some detail, and I am fully ready for that. If the House will forgive me, I will not go into that except in so far as it deals with this matter.

Clause 24 is intended to do something that we would all like to do, which is to ensure that campaign spending comes only from UK-based or otherwise eligible sources. The clause is intended to address some of the concerns raised by the DCMS Select Committee in the other place in a 2019 report on disinformation—so-called fake news and foreign interference in UK elections.

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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I am sorry to be obtuse. I do not entirely understand Clause 24(7), which defines the requisite UK connection of an unincorporated association. I think I understand it as meaning that there must be at least two people associated with it who, while they and anyone else in the unincorporated association may be living overseas, are at least on the register. Is it therefore envisaged that we will have more unincorporated associations which are based overseas but campaigning in Britain?

Lord True Portrait Lord True (Con)
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My Lords, it is required to have a UK connection. I will write to noble Lords to explain that clearly. In the two days that I have been listening in Committee, your Lordships have rightly—sometimes gently, sometimes aggressively—asked the Government to deal with foreign intervention. That is what this clause is intended to bear down on. We can have further discussion on the meaning of subsection (7) and I will undertake to write on that but I hope that, with those assurances—

Baroness Meacher Portrait Baroness Meacher (CB)
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I apologise for intervening at this time of night, but it would be so helpful if the Minister could be absolutely clear. My understanding is that charities are all on a list and can campaign; that is fine. Can he confirm, to me anyway and perhaps to the House, that UK-based organisations that are not necessarily charities but nevertheless promote all sorts of interests will not be covered by this offence and by these regulations?

Lord True Portrait Lord True (Con)
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Again, to help the House, I will write to clarify that. The clause refers to the bodies which the clause applies to—sorry, that sounds very circuitous. A third party that falls within any paragraph of Section 88(2) of PPERA is exempt from the provision. I will make that clear in more correct legal language, but that is how I understand it as a lay person. I hope that I can reassure the noble Baroness absolutely on that. I will check it with my officials tomorrow. I hope that, leaving aside whatever questions there may still be about Clause 25, your Lordships will accept that Clause 24, however imperfect, should not be excised from the Bill.

Lord Scriven Portrait Lord Scriven (LD)
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Before the Minister sits down, on the £700 limit, have the Government done any assessment of how many UK-based organisations that spend between £700 and the existing amount of £20,000 will be affected by the potential change in this legislation?

Lord True Portrait Lord True (Con)
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The change refers to foreign or otherwise ineligible third-party campaigners. I do not know how many foreign organisations there might be that might want to be caught, but if I had such information, I would gladly share it with the noble Lord. As I have said—if I could just complete the explanation—the Section 88(2) organisations are not caught by this provision.

Lord Scriven Portrait Lord Scriven (LD)
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Organisations which at the moment spend below £20,000, which will now go down to £700, will be affected. My question is: how many UK-based organisations that will spend between £700 and £20,000 will be affected by the change? I accept what the Minister says vis-à-vis foreign interference, but there will be organisations in the UK that spend between £700 and £20,000 within the 365-day period that will be affected by this, that are not registered. How many organisations have the Government assessed will be affected?

Lord True Portrait Lord True (Con)
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My Lords, there are other provisions in the Bill in relation to lower-tier and upper-tier spending, and in relation to the £10,000 and the £20,000. It is not specifically related to these provisions. I repeat my undertaking to the noble Lord that I will try to give him the advice he is asking for. Whether my officials, or the Electoral Commission, have a full list I cannot tell him at this hour. I understand that he might be concerned, but I urge noble Lords to understand that this clause is intended to apply to foreign entities.

Baroness Hayman of Ullock Portrait Baroness Hayman of Ullock (Lab)
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I thank the Minister for his response to these amendments and other noble Lords for their contributions to the debate. I apologise to the noble Baroness, Lady Meacher, for forgetting to say that her name was with mine on the notice of our intention to oppose Clause 24 standing part of the Bill, and I thank her for her contribution.

The debate has raised some important issues that we will come back to, not just next week but further on in the debate. The Minister explained that Clause 24 is intended to bear down on foreign interests, and that only people with legitimate interests to influence UK elections should be able to contribute. I do not imagine that anyone would disagree with that aim, but there are still concerns about it. I am sure that we will revisit issues around foreign donations when we reach the clauses on overseas electors.

Regarding my inability to find the £700 in the RPA, if the Minister has a moment, or if one of his officials could send me the link so that I can see it with my own eyes, that would be marvellous. One concern here is the effect of the combination of Clauses 24 and 25 together; there is a bigger concern around that. I am sure we will revisit these concerns about Clauses 24 and 25, because they are so interconnected. I am sure that other noble Lords, as well as myself, would very much welcome further discussion with the Minister on this area, because there are very genuine concerns, particularly among a number of other organisations, including charities. For now, I beg leave to withdraw my amendment.

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Moved by
36: Clause 24, page 34, leave out lines 25 and 26 and insert—
““reserved regulated period” means a period in relation to which any limit is imposed by paragraph 3, 7, 9, 10 or 11 of Schedule 10 (periods involving parliamentary general elections or general elections to the Northern Ireland Assembly).”Member’s explanatory statement
See the explanatory statement relating to the amendment in Lord True’s name at page 33, line 26.
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Moved by
40: Clause 25, page 35, line 4, after “(2)” insert “, as it applies for the purposes of a period in relation to which any limit is imposed by paragraph 3, 7, 9, 10 or 11 of Schedule 10 (periods involving parliamentary general elections or general elections to the Northern Ireland Assembly),”
Member’s explanatory statement
This amendment limits the order-making power conferred by the inserted subsection (9) for section 88 of the Political Parties, Elections and Referendums Act 2000 so that the power can be exercised only for the purposes of periods involving parliamentary general elections or general elections to the Northern Ireland Assembly.