Countering Russian Aggression and Tackling Illicit Finance

Pat McFadden Excerpts

Wednesday 23rd February 2022 Commons Chamber

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

I thank all the right hon. and hon. Members who have contributed to this debate. Many points have been made over the past few hours, but two in particular stand out. First, there was a consensus across all parts of the House—with the exception of one Member who spoke—that the Government have not gone anywhere near far enough with the package of sanctions that was announced yesterday. Secondly, there is an enormous gulf between the rhetoric employed by Ministers and the lack of action that we have seen on illicit finance over many years.

Let me reiterate the Opposition’s position on these issues. We support the Government in taking a firm stand against Russian aggression and in favour of Ukraine’s freedom to decide its future. We support solidarity with our NATO allies. We reject the imperialist notion of “spheres of influence” by which Russia seeks to limit the choices and freedoms of its neighbours.

There can, of course, always be a nationalist appeal to people who speak the same language living across different borders, but if we follow that route, we will be in a never-ending cycle of ethnically based conflicts. No one has pointed out the dangers of that road more eloquently this week than Martin Kimani, the Kenyan ambassador to the UN Security Council, who urged the world to leave behind the mindset of dead empires. His warning not to take refuge in nostalgia and grievance but to look to the future was a leadership lesson for our times. What a contrast between that powerful eloquence and the recent essay on Ukraine by President Putin. Anyone reading that will have seen declarations of love and common history laced with threats and denial of freedom on every single page, and the desperate, needy pleas for respect.

[Bob Stewart (Beckenham) (Con)]

I thank the right hon. Member, my friend, for allowing me to intervene. The real worry is that Putin’s forces have now gone into the area where his proxy forces have operated: Luhansk and Donetsk. Two thirds of those provinces are still in Ukraine, yet the Duma has said that they are now Russian, so at any moment, we can expect Russian troops to go across those demarcation lines. We therefore have to be extremely strong in response and our sanctions have to be much harder.

[Mr McFadden]

I respect the right hon. Member’s experience and agree absolutely with his intervention. Let us call things what they are: not breakaway republics, but step-by-step annexation; not peacekeepers, but an invading force. We have seen the pattern over and over again.

The former High Representative of the European Union, Baroness Ashton, has spoken about President Putin’s strategy of the wedge. He seizes part of the territory of a neighbouring country—Abkhazia and South Ossetia in Georgia, or parts of the Donbas in Ukraine. By holding the wedge, he seeks to limit the freedom of those countries to join international associations. He seeks to absorb the rest of the country in managing the conflict that he has created. He uses up resources, he creates a refugee problem and, if he cannot take over neighbouring countries entirely, he at least ensures that they are not free to develop as they wish because they are not whole and their freedom is compromised.

That “Greater Russia” mindset has been behind President Putin’s policy towards Ukraine for the past eight years. Right now, it is not fully clear whether he will be content just to hold the wedge or whether he will go further, but even what he has done so far is already limiting Ukraine’s options and choices for the future.

How should we respond? Some lessons have been learned. The solidarity shown by the United States, the United Kingdom and most European countries in recent weeks has been important and impressive. Calling out the troop build-up and the creation of flashpoint incidents and false flag pretexts has shone a welcome light on what is happening. The development of open source intelligence has exposed the ham-fisted propaganda emerging from Russia and its troll factories.

Allied unity is important, but so too is allied resolve. In the past, we have set red lines, but when they were breached we have drawn back. The result in Syria was the repeated use of chemical weapons and the ability for Russia to dictate the course of events for years afterwards. This time, if we talk about maximum sanctions for military action, we have to be prepared to carry them out. Who really believes that sanctioning just three people who have already been on the US list for years will deter President Putin from acting further? No wonder the Royal United Services Institute, the respected defence and foreign policy think-tank, described yesterday’s actions as like having

“turned up to a gunfight with a peashooter.”

The Government’s actions have to match their rhetoric. Yesterday, that simply was not the case. The Minister’s defence is that this is simply the first tranche and that there is more to come, but what is the case for waiting, given what we have seen? Is there anything in President Putin’s actions in recent days to suggest that he is in compromise mode? He is not. He is testing us every hour.

Not only do we need a sanctions regime that matches the seriousness of what has been done, but we need determined action to clean up what the Intelligence and Security Committee has called the London laundromat.

[Mr Baron]

Will the right hon. Gentleman give way?

[Mr McFadden]

I will press on, because we are short of time.

Our country and our capital city should not be a welcome home for illicit finance, the proceeds of looting and the proceeds of kleptocracy. There is a basic problem: if sanctions are to work, we have to know what people own. The Government have been sitting on a registration of overseas entities Bill for four years, and it has been six years since it was first talked about. How can sanctions be effective if we do not have legislation to show us what people own? Queen’s Speech after Queen’s Speech has passed without action. Only a few weeks ago, the Government’s own counter-fraud Minister resigned, saying that that legislation was once again to be set aside. Today, it looks as if it may be delayed further. It must be brought forward as soon as possible.

At the heart of money laundering is the use of shell companies to hide the true nature of ownership behind layer after layer of needless complexity. That lack of transparency is the fraudster’s friend. Reform of Companies House is long overdue, but, again, pledges to reform it have not been matched by action. If we are serious about policing kleptocracy and fraud, we have to change this situation and empower our register of companies to be a regulator, not just a library of information—and sometimes a library of dodgy information at that. The recommendations of the Intelligence and Security Committee’s report on Russia have to be implemented. Our agencies have to be resourced to use the powers that they have, otherwise the legislation that we pass in this place is just bits of paper. We also have to be alive to the network of enablers who act as the praetorian guard for the oligarchs here in the UK.

As has already been said, it is not only money that is laundered here, but also reputations. The donation to a university, the purchase of a football club, the sponsoring of a gallery, donations to the Conservative party—all that is designed to burnish the reputations of those involved. In the whole history of this, one fact stands out: the interests of finance have trumped those of security. Then, when people call this out, there is the punitive legal action designed to shut people up and designed to stop the brave investigative journalists whom we should be thanking for the work they have done in exposing what is happening.

The Prime Minister’s defence yesterday was to accuse those of us who question many of these actions of Russophobia, and indeed the Minister repeated that today in her opening remarks. Does she, and does he, really think that the CVs of those involved in this are those of ordinary Russians? Russia is a country where the vast majority of the wealth is owned by about 500 people. We should not confuse those who live off Russia’s wealth with the sweat and toil of the Russian people who created the wealth in the first place. That is no defence for the funding of the Conservative party, and it is no defence for the actions of oligarchs. How does the Prime Minister think they made their wealth in the first place? They did it with the support and backing of the Russian regime. It is the wealth of the Russian people that is being laundered, not the proceeds of exceptional talent or enterprise or creativity or ingenuity.

We stand at a dangerous moment, one that requires not only unity between allies but resolve, for weakness here will be noticed by those elsewhere in the world who are looking for territorial gains. This is not just a matter of finance; it is a matter of national security, and that means the maximum package of actions. It means sticking to the red lines that we have set. That is what we urge the Government to do, and it is action that today’s Labour party will support.

Press Freedom and Safety of Protesters: India

Pat McFadden Excerpts

Monday 8th March 2021 Westminster Hall

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

I represent thousands of constituents with family roots in India. Many are Sikhs with family roots in Punjab. I have received a great deal of correspondence on this issue in recent months, and many of my Wolverhampton South East constituents have signed the petition on press freedom and the defence of the right to public protest. There is a great sense of solidarity with those who are protesting, and a sense that they are fighting for their livelihoods and the right to earn a living. Punjab has long been known as the breadbasket of India. The Punjabi community in the UK have deep family ties with many of the people who are protesting.

The roots of the issue are the three farm laws that were passed last year, which those protesting fear will expose them to huge multinational forces and remove the minimum price guarantees they currently enjoy. Of course India, as a sovereign nation, has a right to debate and legislate for its own laws on that, but—and this is also the case if we look at ourselves—how many countries operate a fully free-market system when it comes to agriculture? Systems of subsidy are very common.

There is a great deal of anguish at the sight of protesters being ill-treated, the internet and social media accounts being cut off, and the arrest of activists. I would always say that protest must be peaceful, but I note the dignity of the protesters, with the provision of langar—free food—not only for each other among protesters, but often for those policing them, too. There is also a rejection of the idea that those engaged in the protests are somehow not loyal to India, or that the response to people fighting for their livelihoods should be to suggest that they are somehow externally controlled, or to place a question mark over their motivations, saying that they are against the state in a broader sense.

What unites those signing the petition, and the hon. Members present, is a defence of the right of peaceful protest and a desire to see a peaceful resolution to the conflict, so I ask the Minister to convey the concerns of the UK Parliament, to stand up for the right of peaceful protest, to defend press freedom, to explain why there are such concerns in the UK, and to urge a peaceful resolution to this long-running and very serious dispute.

Covid-19: Repatriation of UK Nationals

Pat McFadden Excerpts

Wednesday 29th April 2020 Commons Chamber

[Nigel Adams]

I thank my right hon. Friend for his question. In respect of Exercise Cygnus, I am not aware of how involved the FCO was back in 2016, but as his constituents and the country would expect, the Government regularly test pandemic plans. As understand it, Cygnus was a test of domestic preparedness for a future flu pandemic. Of course, the lessons learned from Cygnus continue to be considered by Government when we are reviewing our responses.

[Mr Pat McFadden (Wolverhampton South East) (Lab) [V]]

I have a number of constituents who are still stranded in Punjab in India—some of them in real distress. I recognise the effort from the Foreign Office in chartering flights from Amritsar, but after several weeks of this effort my office is still receiving large numbers of calls from people with serious medical needs who have so far not been allocated a place on any of the charter flights and, importantly, do not know when they will be. When does the Minister think this repatriation effort will be completed?

[Nigel Adams]

The right hon. Gentleman raises a very good point. As he can imagine, there were tens of thousands of British nationals in India. We have got more than 10,000 back on 38 flights so far, and we have another 14 planned. Of course, with India we are doing our best to prioritise the most vulnerable people who have registered that they want to come home. We expect that we will be able to get the number coming back from India to 13,000. We are repatriating people from multiple cities across India and will consider the option of additional flights after these particular flights, based on need and circumstances. The right hon. Gentleman flags up an important area of concern for us.

Global Britain

Pat McFadden Excerpts

Monday 3rd February 2020 Commons Chamber

[Dominic Raab]

I thank my right hon. Friend for his question and congratulate him on his recent election to the Select Committee. I agree with all the aspects that he raised. We want to make sure that we look at foreign policy and all its elements in the round, from security to development. We want to make sure that, as we move forward—leaving the European Union is a point of departure, not the point of arrival—we are global champions of free trade, good strong allies and neighbours not just with our American allies and friends, but with our European friends, and, above all, an even stronger force for good in the world.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

When did the European Union reach a trade agreement with Australia?

[Dominic Raab]

I refer the right hon. Gentleman to the economic framework partnership agreement 2008.

UK Telecommunications

Pat McFadden Excerpts

Tuesday 28th January 2020 Commons Chamber

[Dominic Raab]

The Government and the various statements that have been made in relation to the security risks have consistently called out China for cyber-attacks and other nefarious ways in which they risk—[Interruption.] I am doing it now, so hopefully my right hon. Friend will be reassured. We are squarely focused on that, but in relation to 5G it is important to assess very specifically, in a targeted way, the nature of the risk and make sure that we have the right tools to deal with that risk. As I said in an earlier answer, the risk of an outright ban is that it is a very blunt tool to deal with a very specific problem, but he is right to say that we have to be very mindful as technology develops in the future.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

In the discussions with the United States over the Huawei decision, did the US Administration make any linkage between our decision and any potential trade deal between the UK and the US?

[Dominic Raab]

I have never had any conversation where that linkage has been made, and nor am I aware of any.

Turkish Incursion into Northern Syria

Pat McFadden Excerpts

Tuesday 15th October 2019 Commons Chamber

[Dominic Raab]

My hon. Friend will know that there is a wider international effort to see a genuine political transition in line with UN Security Council resolution 2254 and the 2012 Geneva communiqué. Within the UN-led Geneva process, aside from the immediate concerns about security and the humanitarian situation, we want to see scope for a political transition, and we will encourage the dialogue that she mentioned with that in mind.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

As my right hon. Friend the Member for Leeds Central (Hilary Benn) said, the permission slip for this action was the decision by President Trump to withdraw US troops from the area. General David Petraeus reminded us last week that the Kurds have done most of the fighting and most of the dying in the battle to destroy the ISIS caliphate—a battle that most of us in this House supported. Given these events, what message does the Foreign Secretary think is being sent to those who have stood alongside this country and the United States in the battle against ISIS and the ideology that it represents?

[Dominic Raab]

The right hon. Gentleman makes a powerful point in a very cogent way. We do recognise some of the concerns Turkey has in relation to the PKK, but I think this sends the wrong message to our allies and destabilises the broader coalition in favour of tackling Daesh.

Resignation of UK Ambassador to USA

Pat McFadden Excerpts

Thursday 11th July 2019 Commons Chamber

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

(Urgent Question): To ask the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement on the resignation of the United Kingdom’s ambassador to the United States.

[The Minister for Europe and the Americas (Sir Alan Duncan)]

It was with deep regret that, yesterday, the Government accepted the resignation of Her Majesty’s ambassador to Washington, Sir Kim Darroch. Over a distinguished 42-year career, Sir Kim has served his country with the utmost dedication and distinction. He brought dispassionate insight and directness to his role. It is an outrage that a selection of his very professional reports back to London should have been leaked.

Quite rightly, Sir Kim received the full support of the Prime Minister and the entire Cabinet. In an act of selfless duty, Sir Kim made the decision to resign in order to relieve the pressure on his family and colleagues and to protect the UK-US relationship. The Government profoundly regret that this episode has led Sir Kim to decide to resign. The tributes that have been paid to him from across both Houses, which I would add to, and from so many other corners of this country and others, have been fitting and rightly deserved.

[Mr Speaker]

Before we open to general questioning, may I thank the Minister of State for that pithy but very gracious statement? Many people in the Chamber will have had personal interaction with Sir Kim. He is an outstanding public servant, a point that has been beautifully encapsulated by the Minister of State. I call Liz McInnes. [Interruption.] I do apologise—Mr McFadden.

[Mr McFadden]

I thank the Minister for his opening statement. The resignation of Sir Kim Darroch marks a dark moment for our democracy and for the standing of the United Kingdom. He is a hugely respected professional diplomat with an exemplary record of serving both Labour and Conservative Governments. In writing his dispatches, he did nothing wrong. He was doing his job. It is his job to tell it as he sees it. He carried out his duties in the finest traditions of the civil service. These traditions are not just rusty relics from the past; they are essential to the proper workings of our parliamentary democracy. His response has been characterised by dignity and professionalism, which is more than can be said for others in this affair.

Any other President would have brushed this off and seen the importance of the bigger picture, but the response that we got was the opposite of mature leadership. Thankfully, the relationship between the United Kingdom and the United States is bigger than this matter and bigger than this President. The response of the right hon. Member for Uxbridge and South Ruislip (Boris Johnson) was an appalling abandonment of someone in the firing line. Real leaders protect their people; they do not throw them to the wolves because they can sniff a prize for themselves. His actions were a chilling warning of what is to come if he becomes Prime Minister.

How can those in the civil service be expected to do their jobs properly now? How can they operate if they fear leaks, followed by abandonment by our political leaders? What are our ambassadors supposed to write home, from whatever country they are in—“The President is perfect. The people are happy. They sing his name in the street”? What use would that be from our postings abroad? How can civil servants advise Ministers at home if they feel that candid advice will be taken as evidence of disloyalty and treachery?

Those who welcome Kim Darroch’s departure believe that we need a civil service of true believers. They are profoundly wrong. We do not need a civil service of true believers; we need a civil service able to do its job without fear or favour, and that has become much harder this week. Does the Minister share the concern that this attack on the civil service is part of a broader attack on institutions essential to the functioning of our democracy—judges called enemies of the people; MPs called traitors to their country; broadcasters vilified as having hidden agendas?

Our democracy is under fire. Those who value and cherish it must speak up and defend it. Whipping up anger against one institution after another and dressing it up as an attack on the establishment is doing profound harm to the country. We must call it out for the insidious agenda that it is. I conclude by asking the Minister whether this is understood by at least some in Government, so that the damage done this week does not continue into the future.

[Mr Speaker]

My apologies to the right hon. Gentleman, whose question it was my privilege to select.

UK Ambassador to USA: Leaked Emails

Pat McFadden Excerpts

Monday 8th July 2019 Commons Chamber

[Sir Alan Duncan]

No, because obviously I had seen them before. I have had the benefit over two and a half years of seeing all reporting of this nature from Washington. I say again to the House that it is very balanced. Picking out a few little bits that can be construed as critical of what were, in fact, analyses at a critical time in Washington politics is a distortion of the broad picture of support and understanding, of a very high quality, that has come from Washington over the past two and a half years.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

As the Minister has said, Sir Kim Darroch was doing his job, and the kinds of things that have been reported have been reflected in many other accounts of the White House, including in published books. What is more interesting is why this was leaked and what the consequences might be. We have already seen this morning a full, broad, nationalist, right-wing attack on the civil service as a result. What guarantee can we have that the new regime taking over government at the end of the month will not indulge in that kind of nationalist, right-wing attack on institutions such as the civil service and the judiciary, which are essential for a representative parliamentary democracy?

[Sir Alan Duncan]

The new regime, as the right hon. Gentleman calls it, will have to speak for itself when it has taken its place. There is something else that this House should condemn very strongly: the comments of Nigel Farage, who immediately jumped on the political bandwagon, as he saw it, and called for the ambassador to be sacked. For many people, what little respect they might have had for him will have evaporated even further when they heard that.

Gulf of Oman Oil Tanker Attacks

Pat McFadden Excerpts

Monday 17th June 2019 Commons Chamber

[Dr Murrison]

I am very grateful to my hon. Friend, the Chairman of the Foreign Affairs Committee. Of course we have a dialogue on these matters and many others—particularly with the E3, as I said. He will know that the Japanese and the Germans very recently paid a high-level visit to Tehran. Clearly, they are among our interlocutors. The Foreign Secretary spoke to Secretary Pompeo yesterday to discuss all these measures. We are going to have to continue that dialogue; clearly, we cannot act alone. But my general sense among our European interlocutors at the moment is that we are on the right track and that they desire to see us de-escalate this matter so that a problem does not become a full-blown crisis.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

The Minister has said in response to several questions that he does not want to be drawn further on intelligence. Will he arrange a briefing for Privy Counsellors from across the House with the appropriate officials, to tell us what the Government know about this incident and what they do not yet know or cannot be sure about?

[Dr Murrison]

All I can do is reiterate the point I have made, which is that we do not comment on security matters. The right hon. Gentleman will have to take my assurances that we have made our own independent assessment of this. He will recognise, since he is wise in the ways of these things, that I have chosen my words very carefully. While it is rare for intelligence operators to be categoric in the advice they give to Ministers, they have been as clear as they can be, based on the evidence they have provided, that the provenance of the latest attack is very clear. I hope he will understand what I mean. I do not think there would be any great virtue in the course of action he described.

Sri Lanka

Pat McFadden Excerpts

Tuesday 23rd April 2019 Commons Chamber

[Mr Hunt]

There are two specific things. When it comes to countering terrorism, we in this country have huge expertise and we share it with as many countries as we can in order to try to prevent terrorist attacks. Unfortunately, however, a lot of the persecution that the Open Doors report talks about is state organised and state sponsored, and in those cases we can use our diplomatic levers and those of our friends in other countries who share our values, to try to make it clear that that is not the right way forward.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

I thank those on both Front Benches for their response today and particularly for their defence of pluralism. They outlined their horror, which we all share, of innocent people being attacked in their place of worship, where they should feel safe. I agree with the Foreign Secretary about the importance of religious freedom and of the capacity of different faiths to live together and coexist in peace but, given these attacks, there will be people even in this country who are now more nervous about their own places of worship. What assurance can he give to people here that the maximum measures are being taken to defend the pluralism and freedom of worship that we enjoy here in the UK?

[Mr Hunt]

I thank the right hon. Gentleman for raising that issue. I think he would agree with me that the extraordinary advances that humanity has made since the time of the Enlightenment have come about because the human race has come to accept pluralism as a mechanism for progress. However, that principle always has to be defended and I am afraid that it still has to be defended in this country. For example, we see some of the protection that is necessary around synagogues and mosques, although not yet around churches. We have to be eternally vigilant on these issues.