Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Bill

Wayne David Excerpts

Wednesday 9th October 2013 Commons Chamber

[Wayne David (Caerphilly) (Lab)]

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

[Mr Speaker]

With this it will be convenient to consider the following:

New clause 3—Cost and impact of Part 2—

‘Within one month of Royal Assent, the Electoral Commission must lay before Parliament—

(a) full cost projections of the impact of Part 2 on their running costs;

(b) their assessment of the administrative impact on third parties.’.

Amendment 65, in clause 41, page 47, line 40, at end insert—

‘(A1) None of Part 2 shall come into force until the report of any inquiry undertaken by a Committee of either House of Parliament during the passage of the Act into the impact of the Act has been published.’.

Amendment 66, page 48,line 2, leave out subsection (1)(b).

Amendment 4, page 48, line 3, leave out sub-paragraph (i).

Amendment 5, page 48, line 6, leave out sub-paragraph (iii).

Amendment 6, page 48, line 7, leave out sub-paragraph (iv).

Amendment 67, page 48, line 17, leave out subsection (3)(b).

Amendment 10, in clause 42, page 48, line 37, leave out subsections (3) to (6).

Amendment 11, page 49, line 18, leave out subsections (7) and (8).

Amendment 12, page 49, line 29, leave out subsection (9).

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[Wayne David]

It gives me no great pleasure to move new clause 2, because, essentially, the Opposition are concerned about the lack of prior thought to, or prior serious consultation on, the Bill’s impact on the devolved institutions. When I mentioned the devolved institutions in Committee, there was a blank look on the Minister’s face. Some people believe that the legislation applies only to preparations for UK general elections, but it has an impact on devolved elections, too. New clause 2 seeks to focus on devolved institutions and the referendum, so that proper consideration is given to the Bill’s impact and so that there is proper planning for the legislation’s implementation phase.

I mentioned the lack of prior consultation. My understanding from the Office of the First Minister of the Welsh Government is that there was no prior consultation at all—the Assembly Government were asked for their comments on the day that the Bill was published in the House. I expect that there was the same lack of consultation with the Northern Ireland Assembly and the Scottish Parliament. That is very worrying. One of the Opposition’s concerns from the beginning is the hurried way in which the legislation was put together.

[Dr Hywel Francis (Aberavon) (Lab)]

I can underline my hon. Friend’s point. All Welsh Assembly Members received a letter from the Wales Council for Voluntary Action, which would have been involved in any consultation with the Welsh Government. What he says is absolutely right and confirmed by wider civil society in Wales.

[Wayne David]

I thank my hon. Friend, the Chair of the Joint Committee on Human Rights, for that accurate comment, which strongly reinforces my point. He suggests that, if there had been prior consultation, the Welsh Government would have wanted properly to consult civil society in Wales. In a sense, that underlines a wider point. The Electoral Commission’s comments on Second Reading, which were circulated to all hon. Members, state:

“It has been suggested to us that”

the effects of the legislation would

“be particularly significant in Scotland, Wales and Northern Ireland, where civil society has often had a prominent role in the development and discussion of new policy and legislation in recent years.”

We are therefore not talking about mechanical consultation; there was a desire for meaningful prior consultation with civil society in Wales, Scotland and Northern Ireland.

My hon. Friend refers to Wales, but the Government generally lack realisation of how important civil society engagement is in Northern Ireland. In fact, civil society engagement is a cornerstone of the peace process. That is one reason why great progress has been made in Northern Ireland. It is extremely worrying that the Bill undermines that process. It does so not deliberately, but unintentionally. However, that is indicative of a lack of any real understanding or desire to ensure that there is a holistic, consensual approach to such legislation.

I stress the word “consensual” because Labour Members hold very firmly the view—we adhered to this in government—that we need not only cross-party consultation and discussion, but agreement, so that we can proceed consensually, in the interests not of any political party, but of democracy as a whole. That concept of democracy is not confined to the House; it also involves consultation with the devolved institutions and civil society throughout the UK. That is my first point—the lack of engagement.

My second point relates to the technical impact of the legislation. The following changes will apply to all the devolved institutions: clause 26 and schedule 3 on the wider scope of regulated spending; clause 27 on the reduced registration thresholds; and clause 31 on the new notification requirements for relevant participators when registering with the Electoral Commission. Those three crucial aspects of the Bill will apply to the devolved institutions.

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[Lady Hermon (North Down) (Ind)]

The hon. Gentleman will know that the Government propose to postpone the Northern Ireland Assembly elections from 2015 to 2016. If the House supported the new clause, would part 2 of the Act not come into force until after the Assembly elections in 2016 or have I misunderstood him?

[Wayne David]

The fact that the elections in Northern Ireland are being postponed will provide a greater opportunity for these matters to be considered carefully. The hon. Lady’s question is essentially one for the Government. How they respond to this situation is up to them. What is clear is that this work has to be done in preparation for all the elections to the devolved institutions. We want to be satisfied that the Government have considered carefully all the Bill’s implications before it is approved.

[Lady Hermon]

I am extremely grateful to the hon. Gentleman. I did not want to throw cold water over the new clause. I want to reinforce his opening remarks about Northern Ireland. Since the Good Friday agreement 15 years ago, civil society in Northern Ireland has been able to participate willingly and openly in responding to Government proposals. A lot of that activity has been done by groups from different denominations and all communities in Northern Ireland working together. Those groups are extremely worried about the impact of part 2 on that activity because of the reductions and limitations on expenditure and because of the span of activities that will be caught by the Bill. I did not want to deter the hon. Gentleman from pursuing the new clause, but wanted clarification on the date until he wanted part 2 to be postponed.

[Wayne David]

I thank the hon. Lady for her question about the delayed election in Northern Ireland and for her extremely important comments from first-hand experience about the important role that civil society plays in Northern Ireland. That role is sometimes not fully appreciated by politicians in Great Britain.

As my hon. Friend the Member for Aberavon (Dr Francis) mentioned, the participation of civil society in Wales has been increasing. The same is true of Scotland. However, the participation of civil society in those countries is not nearly as important as in Northern Ireland. It is not to put it too strongly to say that the engagement of civil society is one of the anchors of the peace agreement. It is a key reason why so much progress has been made in Northern Ireland over the past few years. I reiterate that that has been accepted by the Electoral Commission and by many politicians of all political affiliations in the north of Ireland. This is not a party political issue, but a question of how democracy can best flourish and function.

I am involved in civil society in Wales in a modest way. My background is in the youth service, and I am the president of the Council for Wales of Voluntary Youth Services, which, through the Welsh Council for Voluntary Action, has made representations on the Bill. Its concern is first that the stipulations are onerous—I will come to that in a moment—but also that there has been no prior consultation with the devolved institutions or civil society. That sends out a negative message about the lack of thought and, as some might say, the less than benign intentions behind the Bill. All those points have been well made, and I thank those who have reinforced them.

I will now move on to consider new clause 3 if I may—[Interruption.] I was just making sure that you were hanging on my every word, Mr Speaker, and I am pleased to say that you are. New clause 3 is short but important:

“Within one month of Royal Assent, the Electoral Commission must lay before Parliament—

(a) full cost projections of the impact of Part 2 on their running costs;

(b) their assessment of the administrative impact on third parties.”.

The new clause is straightforward but underlines that, frankly, not enough work has gone into the Bill, much of which gives the impression that it was written on the back of an envelope in a rush, and there has been no proper consultation, drafting or consideration.

As many have noted, the Electoral Commission is extremely critical of the proposed legislation for a number of good reasons. One of its concerns is the lack of consideration given to the technical implementation of the Bill, and how much it will cost to be implemented properly in practice. The Electoral Commission is not a party political body; it is truly and genuinely impartial, and considers the technical implementation of a piece of legislation with regard to regulation and elections. Its responsibility is to ensure that elections are conducted properly and fairly, according to the law.

There have been various estimates of how much the proposed legislation will cost the Electoral Commission to implement. A conservative figure is £390,000, although others have said it will cost a heck of a lot more. It has even been suggested that the legislation would be so complex, and the burden on third sector organisations so great, that it is unlikely it could be implemented properly in practice, and certainly not to the extremely short time scale envisaged. This is not about all elections being delayed, as in Northern Ireland, but about the first impact and the general election in May 2015. To get this complex Bill up and running, not just here in the centre of the process but to have a proper understanding of all the things that voluntary and campaigning organisations must do to comply, will be extremely difficult. In essence, the new clause asks the Government to pause and realise that it is all well and good to enact the Bill and say that this or that will happen, but they must also have cognisance of what it will mean on the ground, both for the Electoral Commission and for third parties.

[Mr Christopher Chope (Christchurch) (Con)]

The hon. Gentleman’s last point is precisely not dealt with by the new clause. The new clause asks for an assessment to be made within one month of Royal Assent, and then lets the matter stand on its own. It does not require the Government to take any action as a result of that assessment. Does that not make the new clause rather nugatory?

[Wayne David]

The hon. Gentleman makes a fair point, but this is a modest new clause and we are not attempting to solve all problems not of our making. We hope that in all common sense, if it is clearly shown that the implementation of the Bill is far more complicated than the Government appear to recognise, they will hold back and perhaps delay its implementation, or provide massive increased resources so that it is effectively implemented by the Electoral Commission. Above all, the new clause flags up the issue in a big, simple and straightforward way.

[Bob Stewart (Beckenham) (Con)]

Does the hon. Gentleman imply that perhaps the Bill will not be ready by May 2015 and should, if necessary, be pushed beyond that date?

[Wayne David]

If necessary, yes. In all fairness I cannot believe that the Government would seek to soldier on with a piece of legislation when all objective evidence shows that the time scale is so tight, and the difficulties to be faced so enormous, that it cannot be introduced effectively in time for the run-up to the next election. I stress the run-up because we must not talk only about the general election but the period before it. If the new clause is accepted by the Government—I genuinely hope it will be—it would be part of the legislative base. As a consequence, if the objective information is provided, the Government will do what is necessary to prevent a ridiculous and farcical situation from developing. Such a situation would harm not the Conservative or Labour parties but democracy itself, and it would further undermine people’s support, involvement and engagement in our democratic process.

[John Thurso (Caithness, Sutherland and Easter Ross) (LD)]

The hon. Gentleman argues in favour of new clause 3, and he has—rightly—mentioned the excellent work done by the Electoral Commission. Whatever problem he has defined, however, the solution proposed in the new clause is one the Electoral Commission does not support. Is it the case that whatever argument he is making, the solution he proposes is not the right one?

[Wayne David]

I am not here to answer for the Electoral Commission. Its emphasis has been on identifying the problem, and it is up to us as politicians to identify the solution.

[Mr Graham Allen (Nottingham North) (Lab)]

I hope my hon. Friend does not dispense with that point too quickly. If we are in the business of accepting the views of the Electoral Commission—in light of comments made by the hon. Member for Caithness, Sutherland and Easter Ross (John Thurso), I feel we could accept one or two of its views—perhaps we should accept its views on virtually every other paragraph in the Bill, which, almost to a clause, have been disparaged in the most polite civil service language by the Electoral Commission. If the hon. Gentleman is in the position to make such an offer, I think my hon. Friend should negotiate and get a good deal.

[Wayne David]

That is a telling intervention from the Chair of the Political and Constitutional Reform Committee, and to return to a point I made earlier, it is sad and unfortunate that the Electoral Commission, like everyone else, was not consulted about the Bill. That makes for bad legislation and poor electoral administration, which is worrying.

[Lady Hermon]

Does the hon. Gentleman have the benefit of knowing how many people in the Electoral Commission are engaged in looking after controlled expenditure relating to the Political Parties, Elections and Referendums Act 2000, and how many would have to be recruited to deal with the extended range of activities by the extended group of people and campaigners who will be caught by the Bill if it is passed unamended?

[Wayne David]

The honest answer is that I do not know. I asked the Electoral Commission if it would like to elaborate on its submission, and perhaps the Chair of the Select Committee can help in that respect.

[Mr Allen]

Just by chance, the Electoral Commission came to the House yesterday and offered its services, knowledge and advice to all Members. I am delighted to say that the hon. Member for North Down (Lady Hermon) was present. I believe that the EC said it had 12 people—I will stand corrected if I am wrong. Although they have not been consulted, they will be required to police the provisions in the clauses that relate to freedom of speech. They may be required to act between contending parties. Let us imagine that there is a bit of a bust-up between the League Against Cruel Sports and the Countryside Alliance in the constituency of the Leader of the House—if he were to get wind of such a thing he would of course report it to the Electoral Commission. Presumably, the EC would have to get some big lads—I do not know if they have any—to take down the bunting, intervene in the debate and stop the bad things, as defined in the Bill, being done. If that happens, 12 people will not be enough to police even one constituency, so a recruitment campaign might be necessary.

[Wayne David]

I thank my hon. Friend for his informed comments. I am sure Members will appreciate that in the past few days my mind has been elsewhere, but he makes a valid point.

I refer Members to the Electoral Commission’s written evidence:

“The regulatory burden created by the Bill is likely to be significant. The Impact Assessment states that the estimated cost of compliance with the Bill changes for registered campaigners will be in the range from zero to £800. This assumes among other things that campaigners will need two hours to become familiar with the new definition of regulated activity since it is ‘a relatively clear and simple requirement’—

the Government are tabling an amendment on this, which might change things slightly—

“and that a day of additional information recording will suffice to deal with the new requirement. On the basis of our experience of the effort that campaigners need to make to comply with the current rules, and of our discussions with organisations that may be affected by the new rules, we do not think these estimates are credible.”

That is strong language. The Electoral Commission recognises that it will have a huge new burden, and that there will be a huge new burden on voluntary organisations, charities and campaigning organisations. To say that the estimates are not credible is a strong use of language: it does not say that they are underestimates or not correctly thought through, but that they are not credible. It worries me that the governmental body, the impartial organisation charged with the implementation of the Bill, says that the Government’s estimates of the costs and burdens on voluntary organisations are not credible. In the interests of democracy, the Government need to swallow their pride and recognise that more work needs to be done. That is what new clause 3 seeks to do.

The Electoral Commission’s written evidence goes on to state:

“The Impact Assessment also estimates that the changes to registration thresholds will lead to between zero and 30 additional campaigners needing to register in 2015 compared to 2010. It is difficult to estimate the likely level of additional registration…but again this appears likely to be a severe under-estimate on the basis of our recent discussions with campaigners.”

Not only is there a lack of credibility, there is now a severe underestimate.

The uncertainty and the burdens the Bill will place on campaigners could be mitigated by recasting the definitions of what is covered, and the Government are making some—only some—attempts to do that. That is not a straightforward process, however, and the complexity of the situation is, if anything, being made worse and the legal uncertainty greater. It will require careful testing for those potentially affected by the definitions.

The shame of the Bill is this: many of us suspect that the level of burden and complexity will be such a disincentive for campaigning organisations that they simply will not bother. If campaigning organisations absent themselves from the democratic process, democracy will be the loser. In the run-up to all elections—in devolved elections, as well as general elections—civil society increasingly plays a positive role in asking candidates where they stand, putting political parties on the spot, asking the difficult questions that us politicians sometimes do not want to answer and raising issues that the general public might not have thought of.

[Dr Francis]

My hon. Friend is making an important and non-partisan point. The campaigning by the Royal British Legion was welcomed by all political parties, because so many Members—probably all of them—endorsed the military covenant.

[Wayne David]

My hon. Friend makes a truly excellent point. Sadly, the criticism levelled at those of us who have strong reservations about the Bill is that we somehow want to promote extremists or those in our political camp. The truth is a long way from that—it could not be further away.

The example of the Royal British Legion is a very good one. I think, largely due to its excellent work in support of the covenant, that there is consensus in the House on how we need to give the greatest possible support to former members of the armed forces who have given so much to defend this country. That consensus was in large part achieved due to the work of the Royal British Legion in the run-up to the general election. All of us received representations, and long may it be able to do that kind of work. The Royal British Legion is one of the organisations that has made representations to MPs to express concerns about the Bill, even though the Government have made some concessions. I welcome those concessions, but even the Royal British Legion thinks that there is a heck of a long way to go.

[John Thurso]

It is my understanding that if the House accepts the Government amendments, which reflect those I tabled in Committee, the Royal British Legion’s concern will have been met. If that is the case, is there not a danger that we are looking at the wrong point in the Bill? What we do not want, and what part 2 is designed to deal with, is something like the National Rifle Association in America or the Tea party movement. That is the danger we need to guard against far more than a potential unintended consequence that the Government are trying to mitigate.

[Wayne David]

There has not been broad agreement—in fact, there has been very little agreement—that the Government’s amendments are anywhere near enough. I said in Committee that I welcomed the fact that the Leader of the House had had discussions with the National Council for Voluntary Organisations and given certain verbal commitments. Since then, however, the NCVO has said, “Hang on, we’ll see what is actually proposed,” and now it has considered the proposals in detail and, more importantly, taken legal advice, there is a consensus among most voluntary organisations that the proposals are not sufficient and arguably create further complications, which underlines the point that we have made consistently: this is the wrong way to approach this kind of Bill. We should not be in this position, but unfortunately we cannot turn the clock back, which is why it is important to focus on new clause 3 and at least recognise the need for the Government to take stock of the implications, many of which they have not given proper consideration to.

[Dr Francis]

Had there been a general election in November or December 1913, would the South Wales Miners Federation, on this day 100 years ago, have been prevented from campaigning for a health and safety at work Act following the explosion in Senghenydd, when 439 miners were killed?

[Wayne David]

My hon. Friend makes a powerful point and refers to the Senghenydd disaster, in my constituency, of October 1913. I will not speak at length about it, but the point is that historically all civil society organisations have been able to campaign on issues of concern to them and their members, and today’s health and safety legislation came about through the active campaigning by men and women in places of work. As a direct consequence of what happened in Senghenydd in 1901, when 81 men lost their lives, legislation was introduced, but unfortunately it was not implemented by the coalers and so there was another horrific explosion in the same colliery a few years later, when 439 men and boys lost their lives. Of course, things have improved enormously since those days, but the point is that many great social advances come about not because politicians decide in an ivory tower that something is good for people, but because in a democracy people have the ability and wherewithal to campaign for measures that will improve their and their communities’ lives. Our fundamental concern about part 2 is that the encumbrances created are so great that a raft of civil society organisations might think that things are far too complicated and onerous for them to bother to engage in the democratic process.

[Mr Allen]

It is arguable that the Labour party itself would not have been created had these measures been in place. It is the only party created outside Parliament, rather than as the product of splits among those already in Parliament. It was created by people who we might say today were part of the big society. The Labour Representation Committee—a joint committee of the kind covered by the Bill—created a new political party in order to do certain things in Parliament, and I would speculate that while legislation in the 1900s made the birth, funding and advancement of the Labour party incredibly difficult, even with the help of our good friends in the Liberal party—perhaps we could reinvent that pact in the near future—this Bill would have made its creation impossible. We should take that into account, in view of the remarks of my hon. Friend the Member for Aberavon (Dr Francis).

[Wayne David]

I am sure that my hon. Friend makes a good point—and my hon. Friend the Member for Aberavon, who is a professional historian, is smiling and probably agrees. It is not just about the Labour party, however; other parties have been formed recently as well, and who knows what the future holds? The point is that society has changed. The Labour party might have been the precursor to a new kind of politics in this country, but increasingly we are seeing politics from the bottom up, rather than the top down, which is to be encouraged in society.

I do not want to stray from the point, Mr Speaker, and talk about the nature of democracy. [Interruption.] You are nodding that I should, Mr Speaker. In this day and age, it is of fundamental importance that democracy should not be seen as something involving just the highest echelons of society or handed down on a plate for consumers to accept or reject. Politics is about the creation of a healthy democratic society, which is why the involvement of the third sector is fundamental to the health of modern Britain. We hope—we have seen it in Northern Ireland—that this can be a permanent, developing and organic future for British democracy.

I am about to resume my seat, but I will first refer to human rights. It is my understanding that the Joint Committee on Human Rights, of which my hon. Friend the Member for Aberavon is the Chair, is considering the human rights implications of the Bill, and its report will be concluded in time to be properly considered when the Bill goes to the other place. When talking about democratic engagement, we are talking about human rights in the broader sense of the term. A number of people have drawn my attention to the severe reservations of people who rightly believe in the importance of human rights and who think that the Bill might infringe the human rights of many people in the third sector, which is another reason we are making our case so strongly. For goodness’ sake, let us pause and properly assess all the Bill’s ramifications and implications, and let us do it before it is implemented.

[Mr David Lammy (Tottenham) (Lab)]

Many of us in this place are privileged to spend time in developing countries, and when we do so, we often meet civil society and third sector organisations, and recognise, particularly in parts of Asia, Latin and South America and Africa, the importance they play and sometimes how undemocratic Governments seek to assert control over civil society. We have quite rightly spent endless hours in this House debating press freedom. In that context, it is important that we should take the time to give due consideration to the brakes that the Government are strongly perceived to be putting on the third sector and civil society in our own country, and to the handicap that Ministers will receive in the months ahead if we proceed in this way.

[Wayne David]

Indeed. We are coming to the end of the rather truncated process of deliberation on the Bill in this House, but my right hon. Friend makes a powerful point in underlining our concerns about this part of the legislation. We are concerned about democracy. We like to say that this is the mother of Parliaments and to regard Britain as a beacon of democracy in the world, and it concerns me enormously that so many people—ourselves included—believe that the Bill will take us backwards rather than forwards by undermining the principles and relationships that are fundamental to our concept of modern society.

[John Thurso]

I want to ask the hon. Gentleman a question about this point of principle. His party, when in government, passed the Political Parties, Elections and Referendums Act 2000. That Act accepts that the regulation of third parties is desirable and necessary. Is he now saying that his party got it wrong, or does he accept the principle and are we now arguing only about the detail?

[Wayne David]

That is a good question, and I am pleased that the hon. Gentleman has asked it. He is right to say that we introduced that legislation in 2000. We are not saying for a moment that it is perfect, however, or that it does not need to be modified in the light of subsequent practice. In fact, the Electoral Commission has been conducting a review and has produced more than 50 recommendations for improving the legislation. We strongly believe that it needs to be improved; we are on record as saying that we need to find a way of taking the big money out of politics. We are not defending the status quo. We want change, but we want it to be introduced properly, systematically and on the basis of dialogue and consensus, not on the basis of this Bill, whose rushed, back-of-an-envelope proposals have been pursued—some would say—on a partisan basis. We have to be careful and say yes to change, but for goodness’ sake let us work together. What is wrong with working together to ensure that we achieve a proper consensus? That would work not to our own political advantage but to the political advantage of society and democracy as a whole.

[Mark Durkan (Foyle) (SDLP)]

We know that those who are fundamentally concerned about part 2 of the Bill do not have any running anxieties about the existing legislation. They are concerned about the imposition of reduced caps, the wider scope of the controlled expenditure and the absolute minefield of difficulties—the veritable twilight zone—that is being created in and around the devolved regions, in relation not only to the conduct of elections there but potentially to the conduct of Assembly business in Northern Ireland. For example, people could well say that the Assembly should not be in the business of legislating on same-sex marriage in the same year as a run-up to a Westminster election, as that could be deemed to be a re-run of the debate here, which could influence the election. None of this has been properly considered by the Government.

[Wayne David]

My hon. Friend is absolutely correct. He has referred succinctly to a large number of issues, which serves to crystallise the multitude of concerns that people have about the Bill.

We have had a useful exchange of views, but we should not be in this position now if we want to consider these issues properly. We are in this position, however, and in new clauses 2 and 3, we are saying that we should for goodness’ sake allow the Electoral Commission and others fully and properly to assess the Bill’s implications before it reaches the statute book. Let us do that now, before it is too late. It is much better to take such action in a measured, systematic way than to rush into something and repent at leisure. I ask the Government please to give sympathetic consideration to new clauses 2 and 3.

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[Mr Chope]

If I were a member of the Government faced with such advice from a body on which the Government rely to give them advice, I would say “We will withdraw the Bill, or at least delay further consideration of it until we have received a proper response.” That, I think, would have been the mature way in which to deal with the matter, if I may put in it in a somewhat patronising way.

There are many examples of Bills that have been held up between their Committee and Report stages. Normally they have been held up for a good reason, namely that the Government have been having a rethink, discussing with third parties and other interests what is the best solution. Here we have a glaring example of something else. Effectively, the statutory adviser on these issues has said to the Government “We do not know what the implications are. Please help us. We can help you, but we need a bit of time if we are to do so.”

As the hon. Gentleman knows, I am always an optimist. I hope that, before the end of this evening’s proceedings, we shall have heard the Government say that they wish not to press the matter to the end, but to give the House a chance to engage in further debates, and that they will table further amendments.

[Wayne David]

As the hon. Gentleman implies, there is nothing to stop the Government from saying, at any stage, “We have listened to the concerns of Members on both sides of the House, and we have listened to what people outside the Chamber are saying. We will withdraw the legislation, and will engage in full consultation.” Labour Members can give a cast-iron commitment that if that were to happen, we should be only too happy to engage with the Government, the Electoral Commission and others in an attempt to achieve a consensus on how our electoral law can be modified and made appropriate for the modern age. That is a perfectly reasonable suggestion, and I only hope that the Government will feel able to respond to it. Does the hon. Gentleman agree that it represents a good way forward?

[Mr Chope]

Obviously I do. I am often suspicious of the word “consensus”, but I think that when we are dealing with changes in electoral law, consensus is very important.

In my capacity as a member of the Parliamentary Assembly of the Council of Europe, I go off and monitor a fair number of elections, and the most difficult cases with which to deal are those in which a Government have used their majority to introduce changes in the electoral law, and, in some cases, have used a politically motivated electoral commission to support their actions. That brings democracy into disrepute, especially in some of the emerging democracies in eastern Europe. I think that this is an instance in which we should be aiming for consensus, and if consensus could be achieved by the Government’s withdrawing the Bill, or not continuing with it at the current pace, I should be all in favour of it.

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[Simon Hughes (Bermondsey and Old Southwark) (LD)]

It is good to follow the hon. Member for Foyle (Mark Durkan). I am still hoping to get to Derry/Londonderry, the great city of culture for 2013, before the end of the year, but I am conscious that time is running out—[Interruption.] My speech will not take us to that date.

I want to make a couple of comments on these new clauses and amendments on timetabling and scope. I thank the Leader of the House for the letter that he sent and the amendments that the Government have tabled, which we shall reach later, and I thank my right hon. Friend the Deputy Leader of the House for his conversations, briefings and help in dealing with the Bill.

I assume that those on the Front Bench accept the spirit of amendment 65, although I do not assume that they will accept the amendment itself. It states that the Bill will not be enacted until all Committees of both Houses that are reporting on it have reported. I am a member of the Joint Committee on Human Rights—our Chair is also in the Chamber now—and it is common knowledge that we are considering the Bill. It is no secret that we hope to complete our work this month—we are doing it as quickly as we can—and to publish our report. The amendment is effectively asking the Government to take into account the deliberations of the cross-party Committee of both Houses and any other Committees before there is further detailed consideration of the Bill. I hope that there will be general acceptance of that.

I am not competent to speak about the details of new clause 2, but the Electoral Commission, to which we are grateful for its up-to-date briefing, has an open mind on it—at least, that is how it expresses it. The commission’s summary states that

“we expect that as far as possible Parliament will wish the Government to set out a thorough assessment of the likely impact of the provisions in Part 2 before the Bill is passed.”

I assume that the Government will do that and that the new clause seeks to deal with elections and campaigns other than the general election in Northern Ireland, Scotland and Wales. They are clearly relevant and we must consider them. My reading is clear: the Electoral Commission has not come down specifically in favour of or against the new clause in its briefing, although it has a clear view on other parts of the work before us today.

[Wayne David]

The right hon. Gentleman has accurately referred to the Electoral Commission’s commentary on new clause 2. The commission expresses the hope that the Government will set out a thorough assessment of the likely impact of the provisions, but as things stand, I am not aware of a firm commitment that the Government intend to do that.

[Simon Hughes]

That is why my assumption is that, although the Government might not respond directly by accepting the new clause, colleagues on the Front Bench will be able to answer the point made by the Electoral Commission, as there is obviously regular engagement between the Government and the commission. I hope those on the Front Bench will be positive about that point.

It is clear, as my hon. Friend the Member for Caithness, Sutherland and Easter Ross (John Thurso) said earlier, that new clause 3 is not supported by the Electoral Commission. For want of other guidance, the Electoral Commission is always the best place to go to for a steer on the appropriate response, so I will not support the new clause.

My concern is that the Government should give time for Committees to report and for their deliberations to be considered and that, when the Electoral Commission expressly supports the Government’s proposals or proposed changes, the Government should be responsive.

Let me make a general point about the timetable. Obviously, the Bill took a huge amount of time in gestation and was then born very quickly—it shot out of the cot, or cradle, or wherever it had been kept—

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[The Deputy Leader of the House of Commons (Tom Brake)]

Before I tackle new clauses 2 and 3 and the amendments, I welcome the hon. Member for Caerphilly (Wayne David) to his place. I am not sure whether this is his last appearance in his current position—

[Wayne David]

Probably.

[Tom Brake]

Okay. I also welcome the hon. Member for Liverpool, West Derby (Stephen Twigg), who is making his first appearance in this capacity, as well as the hon. Member for Penistone and Stocksbridge (Angela Smith), who is staying put, I believe. This is also perhaps the first opportunity for me to welcome the Minister of State, Cabinet Office, my right hon. Friend the Member for Tunbridge Wells (Greg Clark). He might be familiar with a quote from Christopher Hitchens:

“What can be asserted without evidence can be dismissed without evidence.”

He might have found during the debate that a lot is being asserted by Opposition Members without evidence. Clearly, the Government dismiss that with evidence rather than without it.

The hon. Member for Caerphilly made an enticing offer that we should pause the Bill, but I am afraid that I shall have to decline. I can only imagine the hue and cry from Labour were we to do nothing with the Bill only for someone to spend just under £1 million in one constituency or another during the run-up to the next general election to try to unseat a candidate they did not want to support. Would the hon. Gentleman then accuse us of failing to take action?

We have also heard some examples of Opposition Members’ belief that the Bill would have stopped updated health and safety provisions in relation to mining disasters. We heard from the Chair of the Select Committee on Political and Constitutional Reform that the Labour party would not have existed had the Bill been in place. My right hon. Friend the Minister of State will become familiar with such arguments, which are completely outwith anything the Government propose in the Bill.

New clause 2 would require the Government and the Electoral Commission to undertake a post-legislative assessment of the impact of part 2 on third parties campaigning in elections to the Scottish Parliament, the Welsh Assembly and the Northern Ireland Assembly and on third parties campaigning in Scottish, Welsh and Northern Ireland constituencies for the UK parliamentary elections. That assessment would also have to consider the impact of part 2 on referendums in Scotland, Wales and Northern Ireland. Part 2 would not come into force until a report of the assessment was laid before Parliament.

Only some of the part 2 provisions apply to third parties campaigning in elections to the devolved Administrations. At the time of the Bill’s introduction, the Government published an impact assessment to accompany it. The analysis has been thorough. To require the Government to undertake another analysis at a later date serves no purpose. In addition, the Electoral Commission already has a statutory function of reporting on the conduct of elections under current legislation. As part of that function, the Government would expect the commission to examine the impact of changes to rules on third-party campaigning at future elections. It would not be for the Government to duplicate the role of the independent regulator.

The main thrust of the remarks of the hon. Member for Caerphilly was about the potential risk of impact on the Scottish referendum. I want to make it clear that the Bill does not have an impact on referendums. Although the regulated period for the 2015 UK parliamentary election will overlap with the regulated period for the 2014 Scottish independence referendum, spending in the Scottish referendum is a matter for the Scottish Parliament. Such expenditure could not, in our view, reasonably be regarded as intended to promote electoral success and would therefore not be controlled under the Political Parties, Elections and Referendums Act 2000 or regulated by the Bill. We believe that expenditure incurred during the regulated period for the referendum would be treated as referendum expenditure and not controlled expenditure for the election, unless there was a clear or direct link to a campaign in the election. We do not think that the commencement of part 2 should be delayed as the hon. Gentleman said.

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[Wayne David]

Surely, the comment from the Deputy Leader of the House depends on clearly differentiating expenditure for election campaigning and referendum campaigning. We might find that sums of money are used for identical purposes at the same time. Common sense dictates that that is bound to lead to complications.

[Tom Brake]

I do not know whether the hon. Gentleman was in the House in 1999 when PPERA was being debated and when it became an Act in 2000. That Act seeks to address that sort of issue. Our position is clear. I do not think that I need to restate it a third time, but I will: the Scottish referendum is not affected in any way by what we are debating here.

I shall move on to new clause 3, which would require the Electoral Commission to identify the Bill’s impact on both its own resources and on third parties. It would require the commission to lay a full cost projection before Parliament within one month of the Bill receiving Royal Assent. As I have just explained, the Government have already published an impact assessment to accompany the Bill. That assessment considers the impact on both the Electoral Commission and third parties. The assessment estimates that the lowered registration thresholds will bring 30 more third parties into the regime administered by the Political Parties, Elections and Referendums Act 2000—that is, third parties that campaign for the electoral success of a party or candidate.

The assessment also estimates that only 10% of third-party organisations will see their expenditure affected by the reduced spending limits proposed in the Bill. At the 2010 UK general election, only two organisations even passed the lower limits proposed in the Bill. There will be a relatively small administrative cost to each registered third party as a result of the new reporting provisions that the Bill introduces. The impact assessment considers that the enforcement cost to the Electoral Commission will rise by a maximum of £390,000 annually. Let me say again that this analysis is comprehensive, and I see no need to repeat it after the Bill has received Royal Assent.

The Electoral Commission states in its parliamentary briefing:

“We do not support this amendment since there are more appropriate vehicles for consideration of these issues.”

The Electoral Commission is already required, under PPERA, to submit an estimate of its income and expenditure to the Speaker’s Committee on the Electoral Commission each financial year. That estimate must indicate what the commission considers its requirements for resources for the next five-year period might be. There is therefore already provision in legislation for the commission to provide the information that the amendment seeks.

[Wayne David]

I thank the Minister for giving way; he is very generous. Before we move on from new clauses 2 and 3, may I ask whether he is categorically rejecting the Electoral Commission’s request for a thorough assessment of the likely impact of these provisions? Let us be clear that he is rejecting that Electoral Commission advice.

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[Tom Brake]

The hon. Gentleman asks a very specific and detailed question. The difficulty in answering it is the extent to which any local community campaign organised at any level would have an impact on Westminster elections. Rather than giving him an off-the-cuff response, I will ensure that he gets a detailed reply. On that point, I will conclude my remarks.

[Wayne David]

It is not the Opposition’s intention to press new clauses 2 and 3, on the basis of the commitment the Deputy Leader of the House has given to have further discussions, particularly in the House of Lords, which we hope will lead to substantive change. I beg to ask leave to withdraw the clause.

Clause, by leave, withdrawn.

Clause 26

Meaning of “controlled expenditure”

[Tom Brake]

I beg to move amendment 32, page 12, leave out lines 31 to 33 and insert ‘“where—

(a) the expenses fall within Part 1 of Schedule 8A, and

‘(b) the expenditure can reasonably be regarded as intended to promote or procure electoral success at any relevant election for—

(i) one or more particular registered parties,

(ii) one or more registered parties who advocate (or do not advocate) particular policies or who otherwise fall within a particular category of such parties, or

(iii) candidates who hold (or do not hold) particular opinions or who advocate (or do not advocate) particular policies or who otherwise fall within a particular category of candidates.”’.