Appendix 1: Letter to the Chairman from
the Chairman of the Electoral Commission
As you will know, during the Commons second reading
of the Electoral Administration Bill the issue of duplicated donation
reporting requirements for Members of Parliament was raised. We
share the concerns raised on this issue, and are aware that you
also have a close interest. I thought it might be useful to let
you know our views on how this might be taken forward.
The Commission shares your concerns on the issue
of holders of elective office being required to report details
of donations both to the Commission and to the relevant body to
which they are elected, or to the relevant Standards Boards in
respect of local government. This is an issue that the Commission
has already raised with a number of relevant institutions responsible
for maintaining registers of members' interest.
Over the past four years, the Commission has monitored
compliance with the reporting requirements placed on holders of
elective office by the Political Parties Elections and Referendums
Act 2000 (PPERA). Based on this experience, our view is that little
value has been added to the aims of transparency and accountability
through these controls.
The Commission is keen that holders of elective office
are subject to proportionate, effective and clear controls that
will ensure transparency and accountability. However, having two
sets of similar reporting requirements has caused notable confusion
for holders of elective office as to when benefits should be reported
and under which rules.
The Commission would therefore welcome an amendment
to the Electoral Administration Bill in order to exempt holders
of elective office from requirements to report donations in accordance
with Part III of Schedule 7 of PPERA. Holders of elective office
would then be subject to only one set of reporting requirements,
those regulated by the relevant body to which holders of elective
office are elected or to the relevant Standards Board.
However, members of registered parties and members
associations, also regulated under Schedule 7, should not be exempt
from donation reporting requirements. These individuals and bodies
are not subject to duplicated controls and properly fall under
the controls of the PPERA. Further, the Commission is not of the
view that holders of elective office should be exempt from PPERA
controls on the sources from which they can accept donations.
Controls prohibiting parties, candidates, holders of elective
office and others from accepting donations from anonymous or overseas
sources remain an essential element of the PPERA regime.
Were reporting requirements to be removed for holders
of elective office, the Commission could maintain its work monitoring
compliance with the controls on the acceptance of donations through
access to, and inspection of, the registers of members' interests
maintained by the relevant elected bodies and standards boards.
The Commission stands ready to work closely with the relevant
institutions to ensure that suitable processes can be put in place
to enable such compliance work to be undertaken.
Staff of the Commission have raised these points
with officials at the Department for Constitutional Affairs and
I am hopeful that the Government will bring an amendment forward
in response to the points made at Second Reading. In the meanwhile,
do let me know if you would like any further information from
the Commission on this matter.
8 November 2005 Sam Younger
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