Select Committee on European Scrutiny Thirty-Third Report


41 EU policy against corruption

(24630)

10332/03

COM(03) 317

Commission Communication on a comprehensive EU policy against corruption.

Legal base
DepartmentHome Office
Basis of considerationMinister's letter of 28 August 2003
Previous Committee ReportHC 63-xxx (2002-03), paragraph 9 (16 July 2003), and see (23885) 12249/2/02: HC 63-v (2002-03), paragraph 10 (18 December 2002)
To be discussed in CouncilNo date set
Committee's assessmentLegally and politically important
Committee's decisionCleared

Background

41.1 We considered this Communication from the Commission on 16 July, when we noted that corruption has been a matter of international and European concern for some years, with initiatives in the United Nations and the Council of Europe as well as the European Union.

41.2 We noted that the Communication was an overview of what has been achieved at EU level and that it indicated the Commission's 'firm intention to reduce corruption at all levels in a coherent way within the EU institutions, in EU Member States and outside the EU'. We reviewed the Communication in some detail and put three questions to the Minister.

41.3 We agreed with the Minister that proposals by the Commission to regulate spending on, or the conduct of, national and local elections would raise subsidiarity issues. Having regard to the Commission's stated 'firm intention' to reduce corruption 'in a coherent way within the EU institutions, in EU Member States and outside the EU', we first asked the Minister to explain what role, if any, could properly be undertaken by the Commission in this regard within the UK.

41.4 We noted that the Communication advocated Community accession to the relevant Council of Europe conventions and Community membership of GRECO (the group of states against corruption). We therefore asked the Minister if Community accession to GRECO might have the effect of conferring an exclusive external competence on the European Community to negotiate international agreements in this area, and if so, whether the Minister would find this acceptable.

41.5 The Communication also invited Member States to introduce clear guidelines on 'whistleblowing' for staff of public administrations, suggesting that reference be made to the Commission Decision of 4 April 2002 as a model for such guidelines. We noted that controversy has arisen when Commission staff have raised concerns over actual or potential impropriety, and we recalled our own concerns about the limited protection given to such persons under the Decision of 4 April 2002 and the proposed Staff Regulations. Our third question was whether the Minister considered that these were an appropriate model to recommend to the Member States.

The Minister's reply

41.6 In her letter of 28 August 2003 the Parliamentary Under-Secretary of State at the Home Office (Caroline Flint) replies to our three questions.

41.7 On the first question, the Minister states that the Government does not see any role for the Commission in relation to the funding or expenditure of national political parties participating in national and local elections taking place within the UK. In relation to a more general policy of reducing corruption, the Minister recalls that the Commission may make proposals under Title VI EU for the Council to exercise its formal powers to achieve the objectives set out in Article 29 EU relating to corruption. The Minister adds that the Government has no objection to the Commission proposing less formal measures, such as encouraging Member States to ratify existing conventions on corruption and to develop standards of integrity in public administration.

41.8 With regard to Community accession to GRECO, the Minister explains that GRECO operates under a statute which gives it the aim of improving members' capacity to fight corruption by monitoring their compliance with agreed international standards, but that GRECO does not itself negotiate agreements. The Minister states her belief that EC participation in GRECO could not have the effect of conferring an exclusive external competence on the EC to negotiate international agreements relating to corruption, but that if it did, the Government 'would certainly object'. The Minister adds that one of the international standards monitored by GRECO is the Council of Europe's '20 Guiding Principles for the Fight Against Corruption' and that one of these Principles (number 10) relates to the rights and duties of public officials. The Minister comments that if the EC were to become a member of GRECO, it should become subject to GRECO's peer review process and that 'in so far as there may be any deficiencies in the Commission's staff regulations in this field the process can be expected to reveal them'.

41.9 On the question of recommending the Commission Decision of 4 April 2002 and the proposed Staff Regulations to Member States as an appropriate model, the Minister comments that the Government would have no objection to the Commission recommending model guidelines to Member States but that it believes it must be for individual States to determine their own arrangements. The Minister describes the arrangements applying to civil servants in the United Kingdom under the Civil Service Code, including the possibility of a civil servant bringing a complaint directly to the Civil Service Commissioners without having to go through internal processes. The Minister also refers to the protection available under the Public Interest Disclosure Act 1998 to employees in the public and private sectors who 'blow the whistle' outside the normal channels.

Conclusion

41.10 We thank the Minister for her reply to our three questions. We agree with the Minister that the Commission has no role in relation to the funding or expenditure of national political parties participating in national and local elections.

41.11 We are grateful for the Minister's statement that membership by the European Community in GRECO should have no effect on the competence of Member States to negotiate agreements with third countries in relation to the prevention of corruption. We agree with the Minister that the peer review process within GRECO may help to reveal any deficiencies in the Commission's Staff Regulations.

41.12 We also agree with the Minister that there can be no objection in principle to the Commission recommending model guidelines to Member States on the rights and duties of public officials, provided the Member States remain free to determine their own arrangements. In describing the arrangements applying to public and private sector employees within the United Kingdom, we believe the Minister is right to mention protection for 'whistleblowing' outside the normal reporting channels, since we consider this an area in which the Commission's own staff regulations are deficient.

41.13 We have no further questions for the Minister on this document which is not, in any event, a proposal for legislation. We are therefore content to clear it from scrutiny.


 
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Prepared 30 October 2003