Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Bill (HC Bill 97)

(3) A “qualifying regulated period” is a period in relation to which limits
are imposed by paragraph 3(2), 9(3) or (5), 10(3) or 11(3) of Schedule 10
(periods involving parliamentary general elections).

(4) The targeted expenditure limit applying to controlled expenditure
5incurred during a qualifying regulated period in a part of the United
Kingdom is—

(a) for the period in relation to which limits are imposed by
paragraph 3(2) of Schedule 10, 0.2% of the maximum campaign
expenditure limit in that part of the United Kingdom, and

(b) 10for any other qualifying regulated period, the relevant
proportion of the limit determined in accordance with
paragraph (a).

(5) In subsection (4)(a) “the maximum campaign expenditure limit” has
the same meaning as in paragraph 3 of Schedule 10.

(6) 15In subsection (4)(b) “the relevant proportion” means—

(7) This section applies for the purposes of sections 94C to 94F.

94C Unauthorised expenditure in excess of targeted expenditure limit

(1) This section applies if—

(a) 25controlled expenditure which is targeted at a particular
registered party (“the registered party”) is incurred by or on
behalf of a recognised third party (“the third party”),

(b) the expenditure exceeds a targeted expenditure limit (to any
extent), and

(c) 30at the time the expenditure is incurred—

(i) the third party is not authorised by the registered party
to incur expenditure targeted at it, or

(ii) the third party is so authorised, but the expenditure
exceeds a cap specified in the authorisation (to any
35extent).

(2) If the third party is not an individual—

(a) the responsible person is guilty of an offence if the person
authorised the expenditure to be incurred by or on behalf of the
third party and the person knew or ought reasonably to have
40known that the expenditure would be incurred in excess of the
targeted expenditure limit, and

(b) the third party is also guilty of an offence.

(3) If the third party is an individual, the third party is guilty of an offence
if the third party knew or ought reasonably to have known that the
45expenditure would be incurred in excess of the targeted expenditure
limit.

94D Authorised expenditure in excess of targeted expenditure limit

(1) This section applies if—

(a) controlled expenditure which is targeted at a particular
registered party (“the registered party”) is incurred by or on
5behalf of a recognised third party (“the third party”),

(b) the expenditure exceeds a targeted expenditure limit (to any
extent),

(c) at the time the expenditure is incurred the third party is
authorised by the registered party to incur expenditure targeted
10at it, and

(d) if the registered party specified a cap in the authorisation, the
expenditure, or any part of it, does not exceed the cap.

(2) The authorised amount is treated for the purposes of section 79(2)
(limits on campaign expenditure) as if—

(a) 15it were campaign expenditure within the meaning of Part 5, and

(b) it was incurred by the registered party at the same time as the
controlled expenditure mentioned in subsection (1)(a) was in
fact incurred by or on behalf of the third party.

(3) For the purposes of this section, “the authorised amount” is the amount
20of the controlled expenditure incurred as mentioned in subsection
(1)(a) less—

(a) such amount, if any, of that expenditure as does not exceed the
targeted expenditure limit, and

(b) such amount, if any, of that expenditure as exceeds a cap
25specified by the registered party in its authorisation of the third
party.

(4) In determining whether, by virtue of subsection (2), the incurring of
controlled expenditure by or on behalf of the third party constitutes an
offence under section 79(2) by the treasurer or any deputy treasurer of
30the registered party, section 79(2)(a)(i) is treated as if the reference in
that provision to the authorisation of the expenditure were to the
signing of the authorisation under section 94E.

(5) The treasurer or a deputy treasurer of the registered party must make
a declaration of—

(a) 35the amount of the controlled expenditure incurred as
mentioned in subsection (1)(a), and

(b) the authorised amount.

(6) A person commits an offence if the person knowingly or recklessly
makes a false declaration under subsection (5).

94E 40Authorisation

(1) A registered party may authorise a recognised third party to incur
controlled expenditure in England, Scotland, Wales or Northern
Ireland that is targeted at the registered party.

(2) An authorisation—

(a) 45must be in writing,

(b) must be signed by a relevant officer,

(c) must specify the part of the United Kingdom to which it relates,
and

(d) may specify a cap on the amount of expenditure authorised.

(3) An authorisation is of no effect until a copy of it has been given to the
5Commission by the registered party or the recognised third party.

(4) The Commission must, as soon as is reasonably practicable after
receiving a copy of an authorisation, enter in the register maintained
under section 89 (register of notifications)—

(a) the fact that the registered party has given the authorisation,
10and

(b) the information specified in it.

(5) A registered party may at any time withdraw an authorisation already
given.

(6) A withdrawal of an authorisation—

(a) 15must be in writing, and

(b) must be signed by a relevant officer.

(7) A withdrawal of an authorisation is of no effect until a copy of it has
been given to the Commission by the registered party or the recognised
third party.

(8) 20The Commission must, as soon as is reasonably practicable after
receiving a copy of a withdrawal of an authorisation, update the
register maintained under section 89.

(9) For the purposes of this section “relevant officer”, in relation to a
registered party, means—

(a) 25the treasurer of the party, or

(b) a deputy treasurer of the party.

94F Expenditure that “exceeds” a targeted expenditure limit or cap

(1) Controlled expenditure incurred by or on behalf of a recognised third
party during a qualifying regulated period in any part of the United
30Kingdom that is targeted at a particular registered party “exceeds”—

(a) a targeted expenditure limit, or

(b) a cap specified by the registered party in its authorisation of the
third party,

if and to the extent that the relevant cumulative total is in excess of that
35limit or cap.

(2) For this purpose “the relevant cumulative total” is the total of—

(a) the controlled expenditure incurred as mentioned in subsection
(1), and

(b) the total of any controlled expenditure targeted at the same
40registered party which has already been incurred by or on
behalf of the third party during the qualifying regulated period
in that part of the United Kingdom.”

(9) In Schedule 20 to that Act (penalties) insert the following entries in the

appropriate places—

(10) If section 85(1) of the Legal Aid, Sentencing and Punishment of Offenders Act
2012 comes into force before the day on which this Act is passed—

(a) section 85 of that Act (removal of limit on certain fines on conviction by
magistrates’ court) applies in relation to the offences in sections 94C(2)
15and (3) and 94D(6) of the Political Parties, Elections and Referendums
Act 2000 (as inserted by this section) on and after that day as if they
were relevant offences (as defined in section 85(3) of that Act), and

(b) regulations described in section 85(11) of that Act may amend, repeal
or otherwise modify amendments made by this section.

30 20Extension of power to vary specified sums

(1) Section 155 of the Political Parties, Elections and Referendums Act 2000 (power
to vary specified sums) is amended as follows.

(2) In the heading, at the end insert “or percentages”.

(3) After subsection (4) insert—

“(5) 25The Secretary of State may by order vary any percentage for the time
being specified in—

(a) section 94B(4), or

(b) paragraph 3(2), (2A) or (2B) of Schedule 10.

(6) The Secretary of State may make an order under subsection (5) only if
30it gives effect to a recommendation of the Commission.”

Information and reports

31 Notification requirements for recognised third parties

(1) Section 88 of the Political Parties, Elections and Referendums Act 2000
(recognised third parties) is amended as follows.

(2) 35In subsection (3)(c), after sub-paragraph (i) (before the “and” at the end)
insert—

“(ia) the names of the relevant participators in relation to the
body (see subsection (3B)),”.

(3) After subsection (3A) insert—

“(3B) The “relevant participators” in relation to a body are—

(a) in the case of a body falling with section 54(2)(b) (companies),
the body’s directors;

(b) 5in the case of a body falling within section 54(2)(d) (trade
unions), the body’s officers (within the meaning of the Trade
Union and Labour Relations (Consolidation) Act 1992: see
section 119 of that Act);

(c) in the case of a body falling within section 54(2)(e) (building
10societies), the body’s directors;

(d) in the case of a body falling within section 54(2)(f) (limited
liability companies), the body’s members;

(e) in the case of a body falling within section 54(2)(g) (friendly
societies etc)—

(i) 15where the body is a friendly society, the members of the
body’s committee of management;

(ii) otherwise, the members of the body’s committee of
management or other directing body;

(f) in the case of a body falling within section 54(2)(h)
20(unincorporated associations)—

(i) where the body has more than 15 members and has
officers or a governing body, those officers or the
members of that governing body;

(ii) otherwise, the body’s members.”

32 25Reporting of donations to recognised third parties

(1) The Political Parties, Elections and Referendums Act 2000 is amended in
accordance with subsections (2) to (10).

(2) After section 95 (control of donations to recognised third parties) insert—

“Quarterly and weekly reports of donations to recognised third parties

30Quarterly donation reports

95A (1) Subject to section 95B, the responsible person in relation to a recognised
third party must, in respect of each reporting period that falls within a
qualifying regulated period, prepare a report about reportable
donations (“a quarterly report”).

(2) 35The reporting periods are—

(a) the period of 3 months beginning with the first day of the
qualifying regulated period,

(b) each succeeding period of 3 months falling within the
qualifying regulated period, and

(c) 40any final period of less than 3 months falling within that period.

(3) A “qualifying regulated period” is a period in relation to which any
limit is imposed by paragraph 3, 9, 10 or 11 of Schedule 10 (periods
involving parliamentary general elections).

(4) A quarterly report must comply with the requirements of Schedule
4511A.

(5) A “reportable donation” means a relevant donation (within the
meaning of Schedule 11) which—

(a) is received by the recognised third party in respect of the
relevant election or elections the poll or polls for which take
5place during the qualifying regulated period, and

(b) is accepted, or is dealt with in accordance with section 56(2) (as
applied by paragraph 7 of Schedule 11), by the recognised third
party during the reporting period.

(6) A quarterly report must be delivered to the Commission by the
10responsible person within the period of 30 days beginning with the end
of the reporting period to which it relates.

(7) The report must be accompanied by a declaration signed by the
responsible person stating that, to the best of that person’s knowledge
and belief—

(a) 15all reportable donations (if any) recorded in the report as having
been accepted by the recognised third party are from
permissible donors,

(b) there are no reportable donations which are required to be
recorded in the report in accordance with Schedule 11A which
20are not so recorded, and

(c) each statement (if any) given under paragraph 3(3) or 5(4) of
Schedule 11A (nil statements) is accurate.

(8) This section does not require the preparation of separate quarterly
reports in the case of the qualifying regulated period in relation to
25which a limit is imposed by paragraph 3(2B), 9(3C) or (5C), 10(3C) or
11(4C) of Schedule 10 (post-dissolution constituency limit).

(9) This section does not apply in relation to—

(a) a recognised third party which is a registered party other than a
minor party, or

(b) 30a recognised Gibraltar third party.

Exemption from section 95A

95B (1) Section 95A does not apply in relation to a recognised third party in the
case of a qualifying regulated period if—

(a) the third party has made an exemption declaration covering
35that period, and

(b) that declaration has not been withdrawn.

(2) A recognised third party is to be taken to have made an exemption
declaration covering a qualifying regulated period if a declaration that
the third party does not intend that controlled expenditure is to be
40incurred by or on behalf of the third party in the United Kingdom
during that period—

(a) is signed by the responsible person in relation to the third party,
and

(b) is sent to the Commission within the period of 30 days
45beginning with the start of the qualifying regulated period.

(3) An exemption declaration covering a qualifying regulated period may
be withdrawn by a notice which—

(a) is signed by the responsible person in relation to the third party,
and

(b) is sent to the Commission before the end of that period.

(4) An exemption declaration covering a qualifying regulated period is to
5be treated as withdrawn if controlled expenditure is incurred by or on
behalf of the third party in the United Kingdom during that period.

(5) Where an exemption declaration covering a qualifying regulated
period is withdrawn, section 95A applies in relation to the recognised
third party in the case of that period—

(a) 10in respect of the reporting period in which the withdrawal
occurred and subsequent reporting periods falling within the
qualifying regulated period, and

(b) with the modification specified in subsection (6), in respect of
each reporting period (if any) which preceded the reporting
15period in which the withdrawal occurred and falls within the
qualifying regulated period.

(6) Where a quarterly report is required to be prepared under section 95A
by virtue of subsection (5)(b), that section applies in relation to that
report as if the time limit in subsection (6) of that section were the
20period of 30 days beginning with the end of the reporting period in
which the withdrawal occurred.

(7) Where an exemption declaration covering a qualifying regulated
period is withdrawn, the third party may not make another exemption
declaration under this section covering that period.

(8) 25In this section “qualifying regulated period” and “reporting period”
have the same meaning as in section 95A.

Weekly donation reports during general election periods

95C (1) Subject to section 95D, the responsible person in relation to a
recognised third party must, in respect of each reporting period that
30falls within a general election period, prepare a report about substantial
donations (“a weekly report”).

(2) The reporting periods are—

(a) the period of 7 days beginning with the first day of the general
election period,

(b) 35each succeeding period of 7 days falling within the general
election period, and

(c) any final period of less than 7 days falling within that period.

(3) A “general election period” means the period—

(a) beginning with the day during a qualifying regulatory period
40on which Parliament is dissolved, and

(b) ending with the date of the poll for the parliamentary general
election.

(4) A weekly report must comply with the requirements of Schedule 11A.

(5) A “substantial donation” means a relevant donation of a substantial
45value which is received by the recognised third party during the

reporting period in respect of the relevant election or elections the poll
or polls for which take place during the general election period.

(6) A relevant donation is “of a substantial value” if its value (as
determined in accordance with paragraph 5 of Schedule 11) is more
5than £7,500.

(7) A weekly report must be delivered to the Commission by the
responsible person within the period of 7 days beginning with the end
of the reporting period to which it relates.

(8) The report must be accompanied by a declaration signed by the
10responsible person stating that, to the best of that person’s knowledge
and belief, no substantial donations have been received by the
recognised third party during the reporting period which are required
to be recorded in the report in accordance with Schedule 11A and are
not so recorded.

(9) 15In this section—

• “qualifying regulated period” has the same meaning as in section
  95A;

• “relevant donation” has the same meaning as in Schedule 11.

(10) This section does not apply in relation to—

(a) 20a recognised third party which is a registered party other than a
minor party, or

(b) a recognised Gibraltar third party.

Exemption from section 95C

95D (1) Section 95C does not apply in relation to a recognised third party in the
25case of a general election period if—

(a) the third party has made an exemption declaration covering
that period, and

(b) that declaration has not been withdrawn.

(2) A recognised third party is to be taken to have made an exemption
30declaration covering a general election period if a declaration that the
third party does not intend that controlled expenditure is to be incurred
by or on behalf of the third party in the United Kingdom during that
period—

(a) is signed by the responsible person in relation to the third party,
35and

(b) is sent to the Commission within the period of 7 days beginning
with the start of the general election period.

(3) An exemption declaration covering a general election period may be
withdrawn by a notice which—

(a) 40is signed by the responsible person in relation to the third party,
and

(b) is sent to the Commission before the end of that period.

(4) An exemption declaration covering a general election period is to be
treated as withdrawn if controlled expenditure is incurred by or on
45behalf of the third party in the United Kingdom during that period.

(5) Where an exemption declaration covering a general election period is
withdrawn, section 95C applies in relation to the recognised third party
in the case of that period—

(a) in respect of the reporting period in which the withdrawal
5occurred and subsequent reporting periods falling within the
general election period, and

(b) with the modification specified in subsection (6), in respect of
each reporting period (if any) which preceded the reporting
period in which the withdrawal occurred and falls within the
10general election period.

(6) Where a weekly report is required to be prepared under section 95C by
virtue of subsection (5)(b), that section applies in relation to that report
as if the time limit in subsection (7) of that section were the period of 7
days beginning with the end of the reporting period in which the
15withdrawal occurred.

(7) Where an exemption declaration covering a general election period is
withdrawn, the third party may not make another exemption
declaration under this section covering that period.

(8) In this section “general election period” and “reporting period” have
20the same meaning as in section 95C.

Related offences

95E (1) The responsible person in relation to a recognised third party commits
an offence if, without reasonable excuse, the responsible person—

(a) fails to deliver a quarterly or weekly report in accordance with
25section 95A(6) or 95C(7),

(b) delivers a quarterly or weekly report to the Commission
without the accompanying declaration required under section
95A(7) or 95C(8), or

(c) delivers a quarterly or weekly report to the Commission which
30does not comply with the requirements of Schedule 11A.

(2) The responsible person in relation to a recognised third party commits
an offence if the person knowingly or recklessly makes a false
declaration under section 95A(7) or 95C(8).

Forfeiture

95F (1) 35The court may, on an application made by the Commission, order the
forfeiture by a recognised third party of an amount equal to the value
of a relevant donation where the court is satisfied that—

(a) a failure by the responsible person to deliver a quarterly or
weekly report in accordance with section 95A(6) or 95C(7), or

(b) 40the delivery by the responsible person of a quarterly or weekly
report which fails to comply with a requirement of Schedule
11A,

was attributable to an intention on the part of any person to conceal the
existence or true amount of the donation.

(2) 45The standard of proof in proceedings on an application under this
section is that applicable to civil proceedings.

(3) A forfeiture order may be made under this section whether or not
proceedings are brought against any person for an offence connected
with the donation.

(4) In this section “the court” means—

(a) 5in relation to England and Wales, a magistrates’ court;

(b) in relation to Scotland, the sheriff;

(c) in relation to Northern Ireland, a court of summary jurisdiction.

(5) Proceedings on an application under this section to the sheriff are civil
proceedings.

(6) 10Sections 59 and 60 (appeals against forfeiture orders) apply for the purposes,
or in connection with the operation, of this section as they apply for the
purposes, or in connection with the operation, of section 58.

(7) In this section “relevant donation” has the same meaning as in Schedule
11.

15Sections 95A to 95F: supplementary

95G (1) This section applies where the requirements in section 95A or 95C to
prepare quarterly or weekly reports in the case of a qualifying
regulated period or a general election period have effect in relation to a
recognised third party.

(2) 20If the third party’s notification under section 88(1) lapses during the
qualifying regulated period or the general election period, the
requirements in section 95A or 95C (as the case may be) continue to
have effect in relation to the party—

(a) in respect of the reporting period in which the notification
25lapses, and

(b) in respect of each reporting period (if any) which preceded that
period and which falls within the qualifying regulated period or
the general election period.

(3) If the third party’s notification under section 88(1) lapses at or after the
30end of the qualifying regulated period or the general election period,
the requirements in section 95A or 95C (as the case may be) continue to
have effect in relation to the party in the case of that period.

(4) In a case where subsection (2) or (3) applies, references in sections 95A
to 95F to the responsible person are to be read, for the purposes of, or
35in connection with, the discharge of obligations of the responsible
person under those sections, as references to the person who was the
responsible person in relation to the recognised third party
immediately before the notification lapsed.

(5) In this section—

(a) 40“qualifying regulated period” and “reporting period”, in
relation to a quarterly report, have the same meaning as in
section 95A, and

(b) “general election period” and “reporting period”, in relation to
a weekly report, have the same meaning as in section 95C.