Northern Ireland (Miscellaneous Provisions) Bill

Theresa Villiers Excerpts

Monday 24th June 2013 Commons Chamber

[The Secretary of State for Northern Ireland (Mrs Theresa Villiers)]

I beg to move, That the Bill be now read a Second time.

Unlike every other Northern Ireland Bill of recent years, the legislation before the House this afternoon is not being rushed through to resolve a crisis, to deal with security matters or to revive collapsed institutions. Today, we are considering a new kind of Bill for Northern Ireland: a Bill for more normal times—times in which Northern Ireland’s position as part of the United Kingdom is settled on the basis of consent; we have a stable and inclusive devolved Government at Stormont; and the focus is now very much on the politics of delivery.

Many of the measures in the Bill—in contrast to previous legislation—have been prepared in the light of public consultation, followed by pre-legislative scrutiny by the Select Committee on Northern Ireland Affairs. I am very grateful to my hon. Friend the Member for Tewkesbury (Mr Robertson) and his Committee for the seriousness and diligence with which they approached their task of scrutinising this legislation. Several aspects of the Bill have been improved in response to their recommendations.

So the context for this Bill is much more stable than that for previous Northern Ireland-related legislation. Devolved government is well established and the Northern Ireland institutions have been running continuously since 2007. In May, the First Minister and Deputy First Minister published an ambitious programme to address sectarian divisions, including dismantling all peace walls within 10 years. Just 10 days ago, they, I and the Prime Minister signed a substantial economic pact to help Northern Ireland compete in the global race for jobs and investment. The agreement reflects the maturing relationship between the Government and the Executive, and it will see the two Administrations working more closely together than ever before on crucial issues such as business access to finance, improving infrastructure, and supporting research and development.

Of course, last week Northern Ireland also played host to the highly successful G8 summit—something that would have been unthinkable only a few years ago. The Prime Minister’s decision to bring the G8 to County Fermanagh could not have been more fully vindicated. Lough Erne provided a spectacular backdrop for the meeting of eight of the most powerful people in the world. The summit was a great opportunity to showcase the best of the new Northern Ireland, which is a great place to invest and a great place to visit. A highly effective policing operation delivered the most peaceful G8 that anyone can remember. Let me take this opportunity to thank the Police Service of Northern Ireland and its partner agencies, including the Garda Siochana, for all their work in making that possible and for their continuing vigilance against the terrorist threat that remains so severe in Northern Ireland.

The Bill makes a number of institutional changes. The measures do not reopen the political settlement enshrined in the Belfast agreement or its successors, but I believe they will improve the way that politics works in Northern Ireland in a number of significant ways. For example, the Bill will open the way for more transparency about political donations, it will modernise the way that elections are run and it will see an end to dual mandates in the Assembly and the House of Commons.

Let me take the points about transparency first. As the House may well be aware, Northern Ireland is subject to different transparency rules on political donation from the rest of the UK. The concern has always been that the publication of donor names could deter people from making political donations because of fear of violent reprisal. Let me be clear that the Government’s ultimate goal is full transparency, with the rules in Northern Ireland being brought into line with the rest of the UK but, having considered the matter carefully, we have concluded that the security situation has not improved sufficiently to enable us to do that and that it is not yet right to start publishing donor names.

[Lady Hermon (North Down) (Ind)]

I am grateful to the Secretary of State for taking an intervention so early in her speech. The Secretary of State began with words with which no one could disagree. She said that the Bill is happening in more normal times in Northern Ireland; I could not agree more. She proceeded to talk about the G8 summit, which has been a huge success, and I thank her for expressing appreciation of the PSNI and the Garda Siochana. Will she take into account the fact that the vast majority of people in Northern Ireland want the anonymity of political donations to be removed and want transparency? What justification is there for keeping that anonymity in more normal times for Northern Ireland?

[Mrs Villiers]

The hon. Lady makes a fair point. I share the goal of those who want to see the extension of the GB regime to Northern Ireland, but, as I have said, I feel that the time is not right for that because the security situation has not improved enough since the rules were first devised. It is a pity, but the Bill will enable us to make progress towards the ultimate goal, which the hon. Lady and I both support.

Clauses 1 and 2 will enable us to make progress towards exactly the sort of normalisation that the hon. Member for North Down (Lady Hermon) wants to see. They will give the Government the power to use secondary legislation to increase transparency gradually, stage by stage. As a first stage, in response to the recommendations of the Northern Ireland Affairs Committee, we propose to move as swiftly as possible to the publication of draft secondary legislation, if the Bill passes all its parliamentary stages.

[Mr Nigel Dodds (Belfast North) (DUP)]

On the question of people being in support or not in support of greater transparency—we certainly support greater transparency—will the Secretary of State acknowledge that the Electoral Commission, as well as the Social Democratic and Labour party, preferred option 3 in the Government’s option paper? It said that there were

“concerns…about the risk of intimidation of donors which justified withholding identities”.

This is not just a party political point; the independent Electoral Commission reached that conclusion, which is in line with the Government’s proposals.

[Mrs Villiers]

I am grateful to the right hon. Gentleman for pointing that out. Indeed, the Electoral Commission has expressed support for a number of the provisions in the Bill. We have listened carefully to the commission in preparing the Bill, given the impact that the commission has on the running of elections and the mechanics of politics in Northern Ireland.

If the Bill passes all its stages, we envisage that secondary legislation will cover matters such as the number and amount of donations, the type of donor—that is, whether they are individual or business donors—the date of the donation and whether it came from an Irish source.

Clauses 3 to 5 are a key part of the Bill and will ban the holding of dual mandates in the Assembly and the House of Commons. That has been a matter of concern in Northern Ireland for some years and the committee formed prior to the 2006 St Andrews talks agreed that dual mandates should be phased out. Further concern was expressed during the MPs’ expenses crisis, including by the Committee on Standards in Public Life. Most important of all, an end to double-jobbing was an important commitment made in the 2010 Conservative manifesto for Northern Ireland. Clauses 3 and 5 will enable us to keep the promises we made to the electorate in 2010.

[Paul Goggins (Wythenshawe and Sale East) (Lab)]

I fully support clause 3, but will the Secretary of State explain why she is making arrangements for Members of the House of Commons to be disqualified from membership of the Assembly, but not making similar arrangements for Members of the House of Lords? I know from personal experience that many Members of the House of Lords from Northern Ireland do an excellent job; the question is whether they can do that job and be Members of the Assembly. The Government have decided that Members of the House of Commons should not be Assembly Members; why is it okay for Members of the House of Lords?

[Mrs Villiers]

The right hon. Gentleman asks a fair question, and his position is supported by the Northern Ireland Affairs Committee. My hon. Friend the Minister of State and I reflected carefully on the matter and, in the end, we decided not to go down that route because we feel that the issues are simply not as strong in relation to the House of Lords. It has always been a different type of Chamber, where people are involved in alternative jobs and careers; there is not the same degree of public concern about dual mandates with the House of Lords; and the lack of a constituency and responsibilities for Members of the House of Lords also provides a reason to distinguish them from Members of the House of Commons. We will listen to the debates in this House and in the other place with an open mind, and if the Lords themselves wish us to act on this, of course we will consider their views carefully, but we believe that the focus of the legislation should be the key cause of concern in Northern Ireland, and that is dual mandates in the Assembly and the House of Commons.

[David Simpson (Upper Bann) (DUP)]

Surely there is a degree of hypocrisy when we have Members from one party who claim all the expenses they can get their hands on but who do not even attend this House?

[Mrs Villiers]

The Democratic Unionist party has strong views on these matters—[Hon. Members: “So did your party in your manifesto.”]—but they are not relevant to the Bill. No doubt hon. Members will have the opportunity to raise those concerns as the debate continues, and I am sure that, on a future occasion, the whole House will have the opportunity to express a view on the status quo regarding parliamentary allowances and what changes should be made.

[Lady Hermon]

Will the Secretary of State clarify, for the benefit of the whole House, whether Members of the Scottish Parliament and Members of the Welsh Assembly can also sit in the House of Lords? Is there a precedent that the Secretary of State is following, or are we just making it up as we go along for Northern Ireland?

[Mrs Villiers]

There is no legislative ban on Members of the Welsh Assembly or the Scottish Parliament being Members of the House of Lords. My right hon. Friend the Secretary of State for Wales is seeking to introduce legislation on dual mandates in the Welsh Assembly and the House of Commons. My right hon. Friend the Secretary of State for Scotland has not taken that step. We believe that there is a case for looking specifically at Northern Ireland, where this has arisen as a problem. The Committee on Standards in Public Life commented that the issue was particularly entrenched in relation to Northern Ireland; that is why it was the subject of the manifesto commitment relating to the Northern Ireland Assembly, but not other Assemblies.

[Mr Gregory Campbell (East Londonderry) (DUP)]

In her elaboration on the Bill’s provisions on dual mandates, the Secretary of State has not mentioned, alluded to or expanded on the cost implications of proceeding with ending dual mandates.

[Mrs Villiers]

No, I have not expounded on the cost implications, but I certainly do not believe that a ban on dual mandates in the Assembly and the House of Commons would add significantly to the cost of politics in Northern Ireland.

[Mr Jeffrey M. Donaldson (Lagan Valley) (DUP)]

The Secretary of State described dual mandates as a problem, but during the difficult years of the peace process it was absolutely essential that Members of the House who were in leadership positions took seats in the Assembly to help it through those initial years. It is therefore regrettable that she described it as a problem: it was part of the solution, in terms of moving Northern Ireland politics forward. Thankfully, we have moved on, but let us not look back and say that it was a bad thing.

[Mrs Villiers]

I would certainly agree that there are a number of reasons why there were more dual mandates in relation to Northern Ireland than for other parts of the United Kingdom. As the right hon. Gentleman said, there may have been justified reasons for that at the time. However, things have moved on, and it is a greater sign of normalisation that, arguably, what might have been a need or justification in the past is no longer relevant today.

In response to a recommendation on double-jobbing from the Select Committee on Northern Ireland Affairs, the Bill bans double-jobbing in the Assembly and the lower House of the Irish Parliament to maintain parity. I am grateful to the Committee for highlighting that issue.

[Ms Margaret Ritchie (South Down) (SDLP)]

Will the Secretary of State comment on double-jobbing between the Northern Ireland Assembly and the House of Lords, and double-jobbing in the Northern Ireland Assembly and Seanad Eireann, the upper House to the Dail?

[Mrs Villiers]

As I have said, we do not see the same pressing issues applying in relation to double-jobbing with the House of Lords, and that applies equally to the upper House of the Irish Parliament.

Clause 6 will enable the Assembly to reduce the number of Members of the Legislative Assembly, subject to consent from Westminster. There is widespread acceptance that Northern Ireland has high numbers of elected representatives. Scotland, with a population of just over 5 million elects 129 MSPs, but Northern Ireland elects 108 MLAs to represent just 1.8 million people. While there were perhaps good reasons for that when the institutions were set up, we feel that the case has now been made for change.

As yet, there is no cross-party agreement on the appropriate size of the reduction in the number of MLAs, and I certainly hope that Northern Ireland’s political leadership can reach a settled view on this as soon as possible. In the meantime, the Bill moves things forward by enabling such a reduction to take place without further primary legislation. The Bill also contains a number of provisions allowing us to update the rules on electoral administration.

[Chris Ruane (Vale of Clwyd) (Lab)]

Electoral registration rates in Northern Ireland are at something like 70%—the lowest they have ever been, and the lowest rate anywhere in the UK—after 10 years of individual electoral registration. Will the Secretary of State use the Bill to redress that imbalance, and what is her view of the fact that if 30% of the public are not on the electoral register, people do not have a functioning democracy?

[Mrs Villiers]

We have taken action outside the scope of the Bill to do the necessary work to update the content of the electoral register. The hon. Gentleman is absolutely right that it needs to be updated, and we have set aside funding to enable that to take place over the coming months.

The Bill deals with issues such as performance standards for electoral registration officers; residence requirements for voting; the canvass form; and declarations by overseas voters. Clause 7 introduces five-year fixed terms for the Assembly from now on, and moves the date of the next Assembly election to 2016. When the Fixed-term Parliaments Bill was debated in 2010, concern was expressed that a general election in May 2015 would overshadow polls for the UK’s devolved Assemblies scheduled for the same day and cause voter confusion. The decision was taken to extend the terms of the Scottish Parliament and of the Welsh Assembly. Lord Wallace, speaking on behalf of the Government, indicated in the debate in the other House that the Government would consider a similar extension for the Northern Ireland Executive after consideration of the triple poll of May 2011. The Bill now brings the Northern Ireland institutions into line with the approach adopted for Scotland and Wales, avoiding the clash with the 2015 general election and making future clashes much less likely.

Clauses 8 and 9 give the Northern Ireland Justice Minister the same security of tenure as other Ministers in the Northern Ireland Executive. This reflects cross-party negotiations that led to the agreement in the Assembly on the method for selecting a Justice Minister and that were part of the historic agreement on the devolution of policing and justice powers.

Clauses 10 to 12 would permit the devolution of certain arm’s length bodies without further primary legislation. These include the Human Rights Commission, the civil service commissioners and the district electoral areas commissioner. Before devolution could take place, though, there would need to be full consideration, a vote in the Assembly, and confirmation via secondary legislation approved by Parliament.

As well as consideration of these and other measures in the Bill, I am sure our debates will give us the opportunity to reflect on what the next steps for institutional change in Northern Ireland should be. The Government do not rule out more far-reaching changes to the institutions in the future, but any future reforms would have to be consistent with the principles of power sharing and inclusivity at the heart of the Belfast agreement, and they could go ahead only if they had cross-party and cross-communal agreement.

The perennial question for all institutions of government is how to improve delivery. A growing number of people think this could come about by facilitating the emergence of a formal Opposition within the Northern Ireland Assembly. Although MLAs of course provide regular and careful scrutiny of the Executive, the Government have been clear that they would like to see a more normal system emerge, which accommodates a Government and a formal Opposition. As yet the consensus that we would need in order to legislate has not been achieved, but I believe that the consultation that my predecessor ran last year on this has pushed the issue forward.

I welcome the fact that the Assembly and Executive Review Committee are now looking at steps that the Assembly itself might take in this field. I certainly encourage the larger parties to be generous towards parties that might consider that they could best serve the electorate by choosing to be in opposition, or that do not have sufficient strength in the Assembly for a seat at the Executive table. As parliamentarians we recognise the democratic value of challenge to our views, even where that can be uncomfortable. Innovation often comes from those who are prepared to take on the prevailing consensus.

In conclusion, it is a good thing that the Bill is not surrounded by the drama or the breakneck urgency of Northern Ireland Bills of the past. It offers an important set of changes, none the less. In pressing ahead with targeted improvements to the way politics works, I hope the Bill will play its part in helping to address the challenges faced by today’s Northern Ireland and its political leadership. Despite some welcome signs that the economy is beginning to heal, the economic climate remains difficult. As President Obama reminded us in his memorable address at the Waterfront hall in Belfast last week, there are many miles to go before Northern Ireland has the shared society we all want to see.

The President was introduced in Belfast by 16-year-old Hannah Nelson from Methodist college, Belfast. With great composure, she told the packed hall and the global media that

“we should not let the past pull us apart and stop us from moving forward…We need to listen to each other and we need to compromise. Most importantly, we need to clearly value each other. Peace is not easy and it takes a lot of work to make it happen.”

Her message is one that has resonated across Northern Ireland. Sectarian division carries great risks to progress on the economy, to security, and to the general well-being of Northern Ireland’s people. It profoundly influences how the world sees Northern Ireland, not least when the tensions that it causes on flags and parading spill out on to the streets. This debate and the Bill provide us with an opportunity in this House once again to pledge our support to the people of Northern Ireland and their political leadership in their continuing efforts to build a prosperous and united community of which all of us can be proud. I commend the Bill to the House.

--- Later in debate ---

[Mrs Villiers]

Perhaps I can provide the shadow Secretary of State with some reassurance. The proposals agreed in the economic package between the Executive and the Government are meant to complement the institutional changes in the Bill. We will work hard to deliver on those, including with a major G8-themed inward investment conference in October and, hopefully, the prompt extension of start-up loans to Northern Ireland, on which my right hon. Friend the Business Secretary is making an announcement today.

[Vernon Coaker]

Obviously, we all hope that those measures are successful. As I have said, I thought the package announced by the Government a few days ago was a step in the right direction. However, I am talking about the sense of urgency needed to accelerate progress and saying that the Government here in London should recognise the huge impact that Treasury decisions have on Northern Ireland, which has particular circumstances as it emerges from conflict. The Secretary of State will know, from hon. Members here and representatives she meets in Northern Ireland, of the real concern about the impact in many communities of joblessness as well as the Government’s welfare changes, the impact of which the Government need to reflect carefully on.

Huge progress has been made on policing and justice. I welcome the changes made to ensure security of tenure for the Justice Minister. I encouraged the Government to legislate on that more than a year ago, and I am glad that the relevant measures are included in the Bill. David Ford, the current incumbent, does a good job in tough circumstances, and I pay tribute to him. Further to policing and justice, I will continue to raise the very serious issue of the National Crime Agency’s inability to operate in Northern Ireland.

--- Later in debate ---

[Mr Dodds]

I can do no better than to quote the leader of my party and First Minister of Northern Ireland, who, as stated in the House of Commons Library research paper, shared the concerns of other parties, including the Ulster Unionists, in saying in evidence to the Select Committee:

“In the past, businesses and businesses were attacked because of their association either with security forces or with one section of the community. You cannot be cavalier about these issues because they are real. Even if it did not happen, there would certainly be the perception among those who might be willing to donate that it could.”

I will go even further and quote the leader of the SDLP, the hon. Member for South Down—[Hon. Members: “South Belfast.”] I apologise to both the hon. Member for South Down (Ms Ritchie) and the hon. Member for Belfast South (Dr McDonnell), the leader of the SDLP, who said in evidence to the Select Committee—I know he is more than capable of speaking for himself—that

“we feel that we were particularly vulnerable…in that some of our donors felt vulnerable and threatened…Sometimes the threat is not even direct, but people are put under pressure and told, ‘You gave the SDLP £1,000 this week; we think that we are entitled to £2,000 this week’. The threat is at that level. In a situation in which there are still a handful of people moving about with guns, that threat is there.”

I agree with the leader of the SDLP, with the leader of my party and with the Government, who have got this issue right. The Electoral Commission—an independent, not party political, body—also expressed such concerns.

I also fully endorse the recommendation of the Select Committee that the clause should be amended so as to provide that the Electoral Commission in future—from 2014 onwards, not going backwards—can disclose donor identity only where there is express consent from the donor; under the Bill as currently worded, such information can be published where there are “reasonable grounds” to believe that there was consent.

On the timetable for moving to transparency, I listened to what the Secretary of State has said: the Bill does not implement any provision, but simply gives the power to the Secretary of State to bring forward legislation in future for achieving greater transparency. At that point, a strong degree of caution and common sense will still need to be exercised because of the continued dissident threat to which we have referred.

The Bill states that the Electoral Commission must be consulted, but—with due respect to the commission—I think that there should also be consultation with the security forces and with the police in particular, and also with the political parties in Northern Ireland. I would be grateful for the Secretary of State’s assurance that this will not simply involve the thoughts and minds of the Electoral Commission, and that there will be a much wider consultation.

[Mrs Villiers]

I can give the right hon. Gentleman that assurance. Of course it would be very important to consult the Police Service of Northern Ireland and others with knowledge of the security situation, but when proceeding with any transparency arrangements, we would want to consult widely with others, including the political parties.

[Mr Dodds]

I am grateful for that undertaking. In Committee, we may return to the question of how the Bill might reflect it more clearly.

Let me now turn to the issue of donations made by individuals and bodies outside the United Kingdom. The Select Committee made the welcome recommendation that the loophole represented by an anomaly, or special provision, should be closed. We will, of course, examine the issue in more detail during the Bill’s Committee stage.

Under the Political Parties, Elections and Referendums Act 2000, political parties registered in Great Britain are permitted to accept donations only from UK residents and bodies. The Act extends to parties in Northern Ireland, but parties registered there may accept donations from citizens and bodies in the Irish Republic. Why was the Act brought into being? It was brought into being so that the public—the people who send us to this place—could have some degree of certainty that those who gave money to political parties had a stake in this country, and in affairs of state here. They did not want political parties to be flooded with money from people in the United States, Europe and elsewhere who had interests in the making of certain decisions, but who did not vote here, represent anyone here, or have any stake in this country other than, for instance, a commercial stake. The Act was introduced for very good reasons, yet an exception was made in the case of Northern Ireland.

Individuals and bodies in the Republic of Ireland can donate to parties in Northern Ireland in a way that contravenes the law of that country. Worse still, however, owing to our inability to regulate donations of this kind, those individuals and bodies can be used as a front for donations from other foreign or overseas countries. The Select Committee’s recognition of that problem led it rightly to recommend that the anomaly be removed.

Here we all are, saying that Northern Ireland should be subject to the same level of transparency in respect of donations and identity as every other part of the United Kingdom. We ask “Why should Northern Ireland be any different?” But why should Northern Ireland be any different when it comes to who can donate to political parties? There is no reason at all why it should. I hope that, as we consider the Bill further in the House and in Committee, Members and, in particular, the Government will look afresh at the issue. If the Government fail to close this loophole, they may rightly stand accused of giving preferential treatment to certain political parties for political reasons.

Whatever the causes for the arguments of the past, those reasons certainly do not exist today. There should be a level playing field for all political parties in Northern Ireland. There should be the same rules for all of them, and there should be the same benefits, if possible, in terms of donations for all political parties. This anomaly was introduced for one reason: to allow Sinn Fein, and other nationalists, to get money from America, channelled into Northern Ireland via the Irish Republic. That is why this was implemented. That is the reason it was allowed, and if it is allowed to continue, that will be an indictment of this House, particularly at a time when people are so concerned about the funding of political parties.

We support the provision to extend the term of the Assembly to 2016. We disagree with the Chairman of the Select Committee, the hon. Member for Tewkesbury (Mr Robertson), on that point, but not because we think people in Northern Ireland will not be able to understand voting in different elections on the same day. Northern Ireland’s citizens have a long and admirable track record of being able not only to vote in different elections on the same day, but to use different electoral systems, and to do so very successfully. The terrible outcome in Scotland recently, when there was a dual election that led to thousands of spoiled ballot papers, has never happened to the same degree in Northern Ireland.

We wanted the extension of the Northern Ireland Assembly term because it has been extended in Scotland and in Wales. In both those jurisdictions, there is now a five-year fixed term. I welcome the fact that today, in this Bill, Northern Ireland, as part of the United Kingdom, is being treated like Scotland, Wales and the other parts of the United Kingdom—and quite right too, as there is no logic whatever in saying we should be treated differently. It means that, as the Secretary of State has said, when there is an Assembly election, Assembly issues will be to the fore, and when there is a Westminster election, the issues affecting this House and Westminster representation will be debated, and there will be no confusion of the two sets of issues. That is very important.