Police Federation Reform (Normington Report)

Mark Pritchard Excerpts

Thursday 13th February 2014 Commons Chamber

[Mr Davis]

My hon. Friend—he is also an old friend—is entirely right. I will elaborate in some detail on some of those cases in a moment.

The federation chose a very good person to write the report. David Normington, a distinguished ex-permanent secretary at the Home Office, is a classic Whitehall mandarin. If anything, he is more tempted than most to be careful and sober in his language, and to pull his punches in his descriptions or at least to mitigate them. However, it is in the best interests of police officers across the country that we reveal very clearly, and perhaps in starker detail than Normington did, the extent to which the federation has failed.

Even in its sober language, the Normington report was, as my hon. Friend intimates, utterly damning of the federation’s performance. It made 36 recommendations, focusing on returning professionalism, democracy and efficiency to the Police Federation. To fully understand the extent of the problem, we should examine a number of areas where the need for reform is particularly apparent.

It is a matter of great concern that the Police Federation is as profligate as it appears to be. There are numerous examples of that. It spent £26 million building its Leatherhead headquarters. Frankly, that is extravagant enough to do justice to one of the London merchant banks at the height of the City excesses. The headquarters have a hotel, a bar, an indoor swimming pool and 11 grace and favour apartments. Even more outrageous is that, to pay for the extravagant cost, members’ subscription fees had to be raised by 23%. The federation’s officers, with their salaries still paid by their respective forces, receive salary enhancements of up to £25,000 from the federation. They are given those enhancements for doing what is, after all, an easier job than being on the cold streets of Britain on the night shift: sitting in their luxury headquarters, instead of performing public duties. I have been told that full-time federation officers have free use of the grace and favour flats and live on company credit cards. The purchase of large quantities of food and alcohol on those cards is apparently not uncommon.

To put a number on this, the accounts show a provision of £2 million in a tax dispute with Her Majesty’s Revenue and Customs. As I understand it, if that provision is to meet any tax liability, at a tax rate of 40%, that means that £5 million of claims have been made on perks, and perhaps unjustifiably claimed as a proper expense. That is astonishing.

In the newspapers only a couple of days ago a police widow—herself a serving police constable, if the report was right—said that federation officials treated memorial services, those most important and high-gravitas of occasions,

“like a drunken jolly, getting drunk on federation credit cards. Their drunken excess upsets families every year”,

so this is not an exception. I heard similar allegations about the behaviour of federation officials at conferences, at which bar bills of hundreds of pounds were again being charged to federation credit cards.

[Mark Pritchard (The Wrekin) (Con)]

Does my right hon. Friend agree that the money might be better spent restoring the damaged national police memorial, on the Mall, which remains broken and damaged, and that that would be a fitting tribute to the brave and dedicated police officers who form the majority?

[Mr Davis]

That is an extremely imaginative suggestion. I have my own ideas about what should happen with the money, but my hon. Friend’s idea should be taken into account.

In making these assertions, I have largely depended on whistleblowers—people who have bravely come forward, shocked at what they have seen—but police whistleblowers are particularly at risk and so are loth to enter the public domain, which makes it hard to check what they have said. As a result, I called on the federation to publish its expense accounts and live up to generally expected standards of transparency. I did this so that I could confirm or deny whether these claims were correct. As far as I am aware, the federation has not published these expense and credit card accounts, which leads me to believe that the whistleblowers are right.

It is up to the federation’s members to say whether they consider this profligacy acceptable, because mostly—but not entirely—it is their money, but they cannot make that judgment unless they know exactly what is being done in their name with their money. So that is another reason to have total transparency in these accounts. Yet another reason concerns my right hon. Friend the Member for Ashford (Damian Green), who as Minister for Policing, Criminal Justice and Victims represents the Home Office on the Front Bench today. We put taxpayers’ money into the federation—it is there properly to perform a function we want performed—so it might be the case that taxpayers’ money is being wasted at these conferences.

The federation appears to have a problem with transparency. It is telling that it failed to answer even Sir David Normington’s requests concerning the so-called No. 2 accounts used by the various branches. This money comes from selling insurance and then keeping a rake-off or commission, but so far the federation has not been willing or able to provide the information that Normington asked for. I understand that this probably accounts for £35 million of assets just sitting around the country. Again, this is money that belongs to serving police officers, not the organisation.

Contrary to the federation’s claims earlier this week, the full details of the 11 grace and favour apartments are not published in its accounts. I will not spend much time on this, but, to save colleagues time looking it up, I recommend they read note 3 of the federation’s accounts. It is the only reference to the apartments, but it does not contain what I would recognise as details telling us that these are grace and favour apartments used for the benefit of federation officers, with or without the approval of its members. It is clear that the federation does not know what transparency means, but it can only restore trust in itself if it imposes transparency on all its operations as a matter of urgency.

The federation’s use of funds raises another matter. It has formidable financial muscle. I guess its total assets come to about £70 million, the majority coming from subscription fees, but some from the No. 2 accounts. The last set of audited accounts showed the federation with a surplus, over and above all its costs and profligacy, of £3.5 million per annum.

In addition, we see in the costs that about £10 million was spent on administration, including the profligacies that I talked about. Most astonishingly, £8 million every single year was spent on legal actions. Furthermore, there are provisions against the loss of certain active legal cases—in one case, for up to £1 million. Other such provisions are for £350,000 or £450,000.

Let us understand something. The right hon. Member for Tottenham is here and will well understand that sometimes there are good reasons for the federation to act vigorously on behalf of its members. Big legal and individual interests will be in play in the Duggan case, and in such cases it is entirely proper that provisions should be made. I do not in any way criticise that element of legal defence, although I have to say that it should come about through an insurance function rather than through the discretion of a Fed rep. Never mind.

Such legal action is justifiable, but on many occasions aggressive litigation should not be carried out against those bringing complaints against the police. Chris Mullin, the distinguished predecessor of the Home Affairs Committee Chairman, has previously said that although most unions will not act on behalf of a member who is clearly in the wrong, the federation has a long track record of defending the indefensible and will gleefully launch claims against the victims of crime.

There are two recent examples of the federation’s appetite for litigation. PC Kelly Jones sued a burglary victim after she tripped on a kerb outside his garage and PC Richard Seymour sued another burglary victim after falling over a drain on his property. In both instances, it was the Police Federation that assisted in progressing the claims, despite the pleading of senior officers that such claims were detrimental to the image of the police force. This is based on press reportage, so I cannot be sure of it, but the federation has been accused of pressuring PC Kelly Jones into making her claim when she had no desire to do so. I hear from other whistleblowers that it is not uncommon for federation members to be actively encouraged to make claims that Members might find inappropriate. A particular concern—

--- Later in debate ---

[Keith Vaz]

I thank my right hon. Friend for his intervention. I am a little concerned at the number of cases in which someone criticises a serving police officer and ends up being served with a legal notice or threatened with legal proceedings as a result of raising issues of legitimate concern. The Select Committee inquiry will want to look at such cases.

The right hon. Member for Sutton Coldfield and his family must have been through a terrible ordeal. It is time to draw a line and move on, and to think about how we can reform the structure, now that the personal issues have been resolved and people have gone to jail or faced misconduct hearings.

[Mark Pritchard]

rose—

[Keith Vaz]

I will give way, but this will be the last time, because I am mindful of what Madam Deputy Speaker has said.

--- Later in debate ---

[Mark Pritchard]

I am grateful to the right hon. Gentleman. He mentioned moving on. Does he agree that the fact that carefully placed stories and leaks have found their way into national newspapers ahead of today’s debate does not help to restore public trust in the police service—particularly the Metropolitan police service? It is time to move on, and it is time for the Metropolitan Police Commissioner to get a grip of his officers. Does the right hon. Gentleman agree that the commissioner ought to have learned from Leveson, and from his previous mistakes in dealing with some parts of the media?

[Keith Vaz]

Of course I deplore leaks, but we have a free press. And of course it is important that everyone should learn the lessons.

Let me turn to the subject of the debate, the reform of the Police Federation. The Normington report is pretty scathing in its criticism of the federation. It says that it should be changed “from top to bottom”, and talks about the present crisis being the result of strategic failures. Sir David Normington also found that 91% of federation members wanted the organisation to change, so this is not a case of Parliament dictating to the federation and telling it what it should do. I am sure we would all want to step away from doing that. The members themselves are saying that they want change.

We need to ensure that the report’s recommendations are implemented by the current leadership of the federation. I pay tribute to Steve Williams, Steve White and Ian Rennie, the chair, vice-chair and general secretary of the organisation. It was Steve Williams who set up the Normington inquiry; we would not have had an inquiry, had the chairman not decided to do that. I also welcome the fact that they told the Select Committee that they intended to implement every one of Sir David’s recommendations. Our inquiry will commence shortly, and I hope that we will be able to look at the length of time it will take to implement them.

I see that another member of the Committee, the hon. Member for Rochester and Strood (Mark Reckless) is in his place. There were two things that caused the Committee some concern. One was the lack of knowledge about the No. 2 accounts that are being held across all the regions, which the right hon. Member for Haltemprice and Howden mentioned. No one knows the figures involved. I would have thought that the chairman of an organisation as important as the Police Federation would know how much money it was holding locally. He told the Committee that he had written to every regional chairperson to ask for that information, and I hope that they will provide it. If the leadership of the federation is to succeed in implementing the Normington report, as we want it to, it must have that information.

The second issue that struck me and other members of the Committee was the fact that even Steve Williams did not know how many members the federation had, because the database was not up to date. That is also a matter of concern. Surely an organisation that speaks on behalf of thousands of police officers ought to have the names, addresses and e-mail addresses of every single member. That information is kept on a regional basis by the regional chairs and committees, but it is not passed on to the national headquarters, even though the national leadership has to speak on behalf of the federation. I hope that those two important issues will be resolved.

The leadership issue is an important one. The hon. Member for Skipton and Ripon (Julian Smith) mentioned the need for effective leadership earlier. I want to pay tribute to Paul McKeever, who sadly died at the end of last year. He was a splendid leader of the Police Federation. However, we can have the best leaders in the world, but if the structures are not right, we will not be able to implement change. The Normington report is about changing the structure of the federation, and I think we all agree that it has to change. The federation must also be open and transparent—not necessarily to Parliament, although I would love that to happen. It must be open and transparent to its members. In the end, we are all parts of organisations whose leaderships need to respond to the members, but the members also need to respond when leadership is shown.

I shall end by outlining some of the issues that I hope the Select Committee will look into. These are not agreed terms of reference—those will be agreed at the next meeting—but they are the elements that I think we need to look at. We need to look at the federation’s spending and its use of public money; the contents and usage of the reserves and the federation’s No. 2 accounts; the use of members’ subscriptions by representatives; and the leadership of the federation at national and regional level, including the elections; the current membership and ensuring that the Police Federation’s communications with all members are robust; and ensuring there is co-operation between regional and national boards. We do need to hear from some of the people who work for the federation and have made statements in the public domain—we would like to hear from them at Home Affairs Committee hearings.

Although the Normington report is damning—no organisation would like to read such a report about the way in which it conducts its business—I have confidence that the leadership is going to implement what Normington has said, because it has told the Committee that that is what it wants to do. The role of the Home Affairs Committee is to monitor that and make sure that those good words are translated into good deeds, for the benefit of the federation’s members and the country as a whole.