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2.14 pm

Mr. Kevin Barron (Rother Valley): The House will know that I serve on the Intelligence and Security Committee. I shall refer briefly to two matters in the annual report that may be of some interest to Members and to the wider public, who, I hope, read our debates about the agencies.

First, there is the continuing interest that the Committee takes in international developments in intelligence oversight. Two members of the Committee, including me, went to a bi-annual inspector-generals conference in Canada in June 1999. Members of the Committee more senior than I had attended it previously. There were representatives from countries such as Australia, Belgium, Canada, New Zealand, South Africa and the USA. It was good that South Africa was represented, because the Minister responsible was present, and the Committee that oversaw his Department, along with representatives of the agencies. Some good debates on oversight took place.

In the introduction to the report are set out the inward delegations that have come to this country, including officials and parliamentarians involved in intelligence and oversight, They have come from countries such as Australia, Canada, Germany, Hungary, South Korea, Romania, Poland and the Ukraine.

Having emerged from communism, many of those countries are referred to by the west as developing democracies. I hope that we influence them in talking about the way in which we in this country approach our work in overseeing agencies. They explain to us in great detail the roles that they play in that respect, and some of them have real reservations about the way in which their agencies operated in different guises many years ago. It is a fascinating debate in which to be involved. They see their agencies as operating more along the lines within which our agencies have operated over many years.

The second issue arising from the annual report is serious crime. The Committee was told about the growing importance of smuggling cigarettes into the United Kingdom. Customs and Excise estimates that about £1,500 million is lost to the Exchequer every year as a result of duty and tax avoidance. Some lorry containers can bring in smuggled cigarettes to the value of £1 million. We were told that the scale of the profits that

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can be made from cigarette smuggling is comparable with the profits made from drug smuggling, and that criminals are turning to cigarette smuggling because the risks and penalties are lower than those that apply with drugs. We have emphasised the fact that we believe that any additional resources given to the agencies to allow them to work in this area could effectively be self-funding for the Exchequer through the recovery of duty and tax.

The Government's response was that they agreed about the loss of revenue to the Exchequer through smuggling, and that they would continue to keep under consideration the resources needed to combat it. Since the report was published, millions of extra pounds have gone into Customs and Excise to try to stop serious crime, including smuggling and the avoidance of duty.

We have not emphasised penalties. If I were found with half a million pounds worth of class A drugs in the back of a lorry, I would face a penalty of up to life imprisonment. However, if I was found with half a million pounds worth of smuggled cigarettes, the penalty would be much less. It is no wonder that people are moving into smuggling cigarettes and not dealing in class A drugs. Perhaps my right hon. Friend the Home Secretary could give us his views on that, or write to me. I understand why we did not highlight that part of the report, but we should consider the issue of penalties.

The major report that we are debating relates to the Mitrokhin inquiry. We concluded that there was serious failure on the part of the Security Service in that it did not consult the Law Officers about the case of Mrs. Norwood. We also noted that the action prevented her possible prosecution. Some of the headlines that followed the publication of the report seemed ridiculous, implying that we had suggested that she should have been prosecuted. The simple fact is that it was not up to us, just as we did not think that it was up to the Security Service, to take that decision. The report makes that clear.

The other issue relating to Melita Norwood was that she had slipped out of sight. We believe that was a further serious failure on the part of the Security Service over a number of years. We were advised that the systems covering prosecution referrals to the Law Officers and the monitoring of espionage cases within the Security Service have been changed to prevent similar serious failings occurring again. I emphasise that, because it took place during our inquiry. It was recognised that things had gone a little wrong, and procedures inside the agencies were changed.

We agreed that the establishment of an interdepartmental working group to oversee the publication of the Mitrokhin archive was a sound decision. However, we concluded that officials failed to keep Ministers fully informed and to ensure that the decisions of the working group were carried out. As a consequence of those failures, Ministers made decisions on the basis of incorrect information.

We also noted that the working group was not adequately constituted to develop the necessary media strategy and to ensure that Ministers were alerted in a timely manner and provided with appropriate and robust lines to take. We stated in our conclusions that


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In the Government's response, they accepted that the preparations for the handling of the publicity surrounding the archive were ineffective, and officials recognised that there would be considerable public interest, and that the Government's normal and entirely proper refusal to comment on intelligence-related matters would not be adequate. The implications of non-prosecution of Mrs. Norwood were not sufficiently worked through. In consequence there was inadequate preparation of responses to the reaction and the interest aroused in the media and in Parliament.

I see quite clearly how the situation came about, but given that the Government acknowledge that officials recognised that there would be considerable public interest, and that Government's normal and entirely proper refusal to comment on intelligence-related matters would not be adequate, it is no longer normal or entirely proper to use the stock phrase that has been used for decades in this country--that the Government do not comment on matters of national security.

A debate must take place about the way in which Ministers and officials should speak to the media in such circumstances. Different terms are needed to replace the stock phrase that has been circulating in and around the agencies for many years. I do not claim to have the answer, but there seems to be a slight contradiction in the Government's conclusion about how they should operate at the public interface in future.

The Committee recommended that greater consideration was needed when briefing Ministers and senior officials on sensitive material, to ensure that accurate briefing is given on all the information.

Our greatest concern was that the mishandling of the publication of the Mitrokhin archive detracted from the major achievement of the SIS in exfiltrating Mr. Mitrokhin, his family and the material, together with the successful dissemination of the material to foreign liaison services. The information that we received sped around the world to foreign agencies, which most of us would argue was to the general good of counter- intelligence. It is a great pity that the handling of the publication of the archive detracted from that.

I put on record the bravery of Mr. Mitrokhin, who believed that the organisation for which he was working in his own country was betraying the people of his country.

Mistakes were made, and they were admitted. There was no hint at any time in our proceedings that anyone was trying to mislead us in any way. It is important to recognise that nothing happened to compromise national security, no one was put at risk, and there was no deliberate attempt to deceive Ministers or anyone else. No one tried to shirk responsibility.

If, after reading the report, one asks why a certain thing happened in such an organisation, the answer is that it was probably a result of the culture of the organisation. We all recognise the distinctive culture of Parliament or the culture of ministerial office.

It is to the credit of my right hon. Friends the Home Secretary and the Foreign Secretary that they asked our Committee--a Committee of parliamentarians who were either elected or, in one case, appointed to the other place--to look into all the details of the case and to report in such an open way. Little was taken out of the report made available to the public. We, and the public, should be grateful for that.

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I hope that the confidence-building measures in which we, as the oversight Committee, are engaged with the agencies and with Government organisations, will continue in the future.

2.26 pm

Mr. Tom King (Bridgwater): I am pleased to follow the hon. Member for Rother Valley (Mr. Barron), who is a valuable and respected member of the Intelligence and Security Committee.

I start by expressing my appreciation to the Home Secretary and to my right hon. Friend the Member for Maidstone and The Weald (Miss Widdecombe) for their kind personal comments. I welcome the debate on behalf of the Committee. This is the most important parliamentary occasion of the year for the Intelligence and Security Committee, and we appreciate the fact that it involves the presence of two of the most senior Cabinet Ministers. That is a proper recognition of the importance of the agencies for which they are directly and personally responsible.

It may be a little churlish to make an early criticism. I welcome the debate, and my goodness, we waited for it. The delay in holding the debate is quite unacceptable. The debate after our last annual report took place on 2 November 1998. We hope to produce our next annual report in six weeks.

The present debate is on the 1998-99 report, which was sent to the Government with a letter from me to the Prime Minister dated 6 August last year. The Government took six months to respond. Their response is dated 28 January this year, and now, on 22 June, five months later, we have the chance of a debate. I ask the Home Secretary and the Foreign Secretary, both of whom I am pleased to see in their place, to use their influence to ensure that the next debate is more timely.

As I said, we will submit our next annual report at the end of the summer Session. There should be a real determination for the Government response to be available by the time the House comes back in October, and that we should have the debate when the report is fresh and current. The debate on a previous report was held on 2 November, as I mentioned. I need to put that on the record. The Foreign Secretary and the Home Secretary will understand why I am doing so, and the Whip on duty may report this to the business managers as well. It is unacceptable that there should be such a time lag.

If I had to choose a text to represent the year's work, it might be a quotation from the leader in The Times after the publication of our report on Mitrokhin. The Times was kind enough to refer to it as


We appreciate that comment.

Against that background, I pay my tribute to the members of the Committee, several of whom are in the Chamber, and to our staff, who support us so well. By the nature of their work, they will not be recognised by name, but their contribution will be recorded elsewhere--perhaps Upstairs, or in the future. We appreciate their work.

Let me comment on Select Committees and the alternative of a different style of Committee. I pay tribute to my colleagues' attendance at meetings of the

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Intelligence and Security Committee. I read the paper by the Liaison Committee that discusses new arrangements for improvements in Select Committees. It considers punitive measures that perhaps should be available for the Chairman to take against members who signally fail to turn up for Select Committee meetings and are regular absentees. I am glad to say that that has never been a problem for me in the six years that I have been Chairman of the Intelligence and Security Committee. That should be recognised.

I am speaking personally, although I will probably take the overwhelming majority of the Committee with me on the comments that I am about to make. "Overwhelming" may be an exaggeration; perhaps "significant" would be better. I am unimpressed by the suggestion that there is an urgent need for a change. The Times quotation suggests that we are doing something right, and breaking new ground in a way that was perhaps not apparent to the Liaison Committee or the Select Committee on Home Affairs when they prepared their reports.

The Intelligence and Security Committee is a parliamentary Committee; Parliament established us to do our job. There are differences between our Committee and Select Committees. On a previous occasion, the Home Secretary famously destroyed the illusion that because Parliament votes on the membership of Select Committees, they are the product of the free vote of an independent House of Parliament. The selection of some and the exclusion of others who might be less acceptable show that the forces that are at work are pretty close to Government.

It is acknowledged that the Intelligence and Security Committee is slightly different. The Home Affairs Committee's report recognises that we require special arrangements and that we could not be an ordinary Select Committee. If one visits the House of Representatives Permanent Select Committee on Intelligence, and walks down the secure corridor towards the armed guards standing by the door, one realises that it is not an ordinary, free-standing Select Committee. We meet in secret and have secure premises, which are required for our work.

The report of the Select Committee on Home Affairs also recognises that the agencies, for which we have oversight and responsibility, answer to different Ministers and Departments. If one sought to replace the Committee, it would have to be with a single Select Committee. That is common ground between those who advocate a Select Committee. The report had integrity in that it acknowledged that the Intelligence and Security Committee was doing quite a good job. It also recognised that the Committee was evolving, developing and appointing an investigator.

That report was written before we broke new ground with the invitation from the Home Secretary and the Prime Minister to investigate the Mitrokhin affair, with full access to all relevant papers and advice to Ministers. The latter was important, and enabled my right hon. Friend the Member for Maidstone and The Weald to ask some difficult questions because we had all the information whereby we were able to reconstruct the paper trail and some of the problems that had arisen.

The calibre of members of the Intelligence and Security Committee is as good as that of the members of any other Select Committee. It comprises many senior hon. Members. Other Select Committees, such as the Home

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Affairs Committee and the Liaison Committee, tend to write reports as if we were from another planet. Yet some of my colleagues on the Intelligence and Security Committee serve on other Select Committees. I was disappointed that the Liaison Committee, whose Chairman I had approached, did not invite me even to attend a meeting as an observer or to comment to the Committee before it further investigated some of its proposals.

There is much common ground between us. The Liaison Committee report complained about delay in Government responses and suggested that two months should be the norm. I agree; I have just complained about the delay of six months before we got our response. The report stresses the need for a debate on reports. I even found some common ground with its complaint about the inconsistency of Government replies. It stated that some were exemplary and others were superficial. I agree with that. Perhaps the Government will refer to it in their response to the debate.

I have been proud to chair the Intelligence and Security Committee since its inauguration and during its development and evolution, which continues. We need Government support and a proper understanding by them that the Committee is an important bulwark and safeguard for the intelligence agencies and public confidence in them. The fullest trust, confidence and openness by Government is necessary when appropriate to enable us to discharge our duties.

If the Liaison Committee wants to return to the matter--its report said that it might--a little consultation with parliamentary colleagues who serve on the Intelligence and Security Committee might be helpful. We might then be to help the Liaison Committee. I want to put that on record because I do not imagine that the Government have many empty slots in their legislative programme, and I do not therefore believe that the matter will be pursued with any urgency. That could not be justified.

I add the Committee's strong endorsement to the tribute of the Home Secretary and my right hon. Friend the Member for Maidstone and The Weald to those who work in our intelligence agencies. The nature of their work means that it is impossible for people to know the challenges and dangers that they face and the very personal risks that they sometimes run. It is not known that sometimes they have to be moved very quickly, and arrangements have to be made to move them and their families because of imminent threats, perhaps after their identity has been betrayed by others. Those people are dedicated to the security and protection of our country and we owe them a great debt.

I want to put on record my admiration of the leadership that those people receive. I do not exclude from that Sir Richard Wilson, the Secretary of the Cabinet, whose interest in our Committee's work I appreciate. He has attached importance to our work. I also thank the Cabinet Office for its support. I add my personal recognition of Sir Stephen Lander, the Director General of the Security Service, whom I congratulate on his award.

Our appreciation of our relationship with the agencies, and their quality is part of the background against which we work. We require the fullest possible Government

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co-operation whenever we have to be involved and in whatever work we may have to undertake. We are grateful for the Prime Minister's endorsement and his assurance of that full co-operation in our work.

Our job is to scrutinise, to recognise and respect work that is well done, but not to develop the sort of cosy relationship in which we become apologists for the intelligence and security agencies. The best service that we can do them is at all times to be alert to mistakes and occasions when standards are not maintained and integrity is not protected, and to speak out without fear or favour.

Some hon. Members referred to my public profile. We began with almost total invisibility. The profile has grown, however. It is an important part of our work that the public know that we exist, and can have some confidence that a Committee independent of Government oversees the agencies.

In a recent article about Menwith Hill, one of the criticisms made by a certain newspaper was that it was an incredibly secret place, which no Minister or other Member of Parliament had ever visited. Let me put it on record that the Committee has made two visits, and that a number of our colleagues have made individual visits. Both the fact that such visits are made and the fact that it is known that there are not "secret places" that are off limits for the Committee are important, not just to satisfy us but in terms of the public confidence that they create.


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