Charities Bill [Lords]


[back to previous text]

Martin Horwood: I shall ask what may sound like a mischievous question, but in fact it is genuine. Will the Parliamentary Secretary summarise the benefits to the staff of being classed as civil servants?
Edward Miliband: There are two choices for Government: the Charity Commission staff can be civil servants, because they are working for a Department, albeit a non-ministerial one, or there can bea non-Departmental public body approach. My understanding of this matter, which was fully considered by the Joint Committee and the strategy unit, is that there would be more control by Ministers of a non-Departmental public body; such a body would be more subject to the direction of Ministers than a non-ministerial Department. People are clear that in regulating for food safety, the FSA, for example, operates transparently and independently. That is a good model for us to follow.
The Charity Commission already has delegated authority on behalf of the Minister for the Civil Service to determine the number and grading of its posts and the terms and conditions of employment, in so far as they relate to remuneration allowances, and so on. The commission is only required to agree the overall pay remit with the Treasury. It takes its own decisions on terms and conditions of service within a broad framework and has some latitude, while remaining a non-ministerial Department.
The amendment is important to the board and staff of the Charity Commission, because without it the commission might end up in the unique position of being the only Department whose staff are not in the civil service. That is the basis of the amendment, which I commend to the Committee.
Peter Bottomley: I welcome the Parliamentary Secretary’s response. The Government amendment is sensible. I read it as saying that Ministers will not get involved in the appointment of the chief executive; that is left to the Charity Commission, which is a good idea.
I ought to acknowledge and put on the record that I am and have been a trustee of a large number of charities, and so has my wife, who is also involved in headhunting in the charitable field.
The Parliamentary Secretary has chosen the right form for the Charity Commission. Ministers have much more power over things that they do not directly control than those over which they have closer control, such as Departments, from which they are kept further away. That helps keep away some of the malevolence or frustration that is occasionally expressed by Ministers.
I think that the amendment is saying that the number of charity commissioners, plus the chairman, should increase. However, that is not necessary. It is clear that the Government intend to appoint six, seven or eight. Having a low number means that the commission can still exist if one member has a car crash, another is struck off and somebody else retires.
Martin Horwood rose—
6.9 pm
Sitting suspended for Divisions in the House.
6.40 pm
On resuming—
Martin Horwood: I was on the point of begging to ask leave to withdraw my amendment. However, I shall not do so right now because, on reflection, I have realised that that would deny us the valuable opportunity of hearing the Minister’s comments.
Edward Miliband: I will be brief.
On amendment No. 72, the Bill makes significant improvements to the Government’s arrangements for the commission. It enables the board to reflect legal and accounting expertise, a Welsh perspective and the diversity of the sector.
It is our strong intention to appoint nine members to the board. In accordance with the wise words of the hon. Member for Worthing, West, we have to plan on the basis that if there were some act of God, the commission could carry on functioning. I hope that the hon. Member for Cheltenham will withdraw the amendment. We want a commission of nine because that is far more likely to represent the diversity of the sector and be an effective board for the Charity Commission.
Amendment No. 73 does not reflect the intentions of the hon. Member for Cheltenham. I have already spoken about Government amendment No. 57, which I hope will be supported.
Martin Horwood: I am grateful that the Minister has the strong intention to appoint nine members to the commission. I am reassured by that, as I am by his comments on amendment No. 73. However, I hope that he will take on board the comments made about having not only a more socially and ethnically representative commission, but one that, for instance, includes somebody with disabilities. We should also look at the users and beneficiaries of charities as possible members of the commission; that would be in line with the general trend towards the empowerment and representation of users and beneficiaries in the sector as a whole.
I did not refer to Government amendment No. 57 and am still slightly mystified about the supposed huge benefit that attaches to commission members’ belonging to the civil service. I am sure that that is great and laudable, but this is my first public sector job and I sometimes find it a little rigid compared to my previous experience in the business and charity sectors. I am not sure that it is necessarily right rigidly to prescribe terms and conditions for any organisation in that way. However, I take it on trust that the move is sensible in the context of the Government as a whole. I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Amendment made: No. 57, in schedule 1, page 82, leave out lines 38 to 43 and insert—
‘(2) The terms and conditions of service of persons appointed under sub-paragraph (1) are to be such as the Commission may determine with the approval of the Minister for the Civil Service.’. —[Edward Miliband.]
Martin Horwood: I beg to move amendment No. 65, in schedule 1, page 84, line 36, at end insert
‘and shall publish it on the Commission’s website.’.
The Chairman: With this it will be convenient to discuss amendment No. 7, in schedule 1, page 85, line 13, at end insert
‘; and
(c) attendance by as many representatives of charities as reasonably practicable.’.
Martin Horwood: The amendment is very simple.In the spirit of e-government, inclusiveness and accessibility, it aims to extend the publication of the commission’s report, which would normally simply be laid before Parliament. The amendment would add the report to the commission’s website, as opposed to simply the parliamentary website, so that it would be there for any affected charities to read and access in the easiest form possible. I hope that hon. Members will happily support that.
In amendment No. 7, with which mine has been grouped, the Conservatives suggest the organisation of an annual meeting of the Charity Commission, which would have to maximise the attendance of charity representatives. That objective seems entirely laudable. In keeping with the Cheltenham principle, it is both harmless and desirable, and I therefore support it.
Mr. Turner: Amendment No. 7 does not follow the Cheltenham principle because it is harmless but necessary—organisations are good at organising their annual meetings at inconvenient times in inconvenient places. I suspect that the Charity Commission would not be doing this intentionally. However, the most sensible time from its point of view would be lunchtime on a Wednesday but from their trustees’ point of view it would probably be at a weekend. That is why I hope that the commission will take account of this when deciding when and where to locate its annual general meeting.
6.45 pm
Peter Bottomley: May I suggest that we can trust the Charity Commission to have more than one meeting? The annual meeting does not have a legal status except it may be required by the legislation. I would hope that the Charity Commission is similar to the BBC and that it will go around the country so that trustees of local charities can be in attendance and raise issues.
When making a decision that could go either way, the Charity Commission ought to go out to public consultation. I can give one example that would be relevant to an annual meeting, which is the suggestion that the commission will pick out one or more Olympic sports and say that they are not charities. It would be useful at a public meeting, or even a private one, for the Minister to say to the Charity Commission, “Do not try and pick out one or two of the Olympic sports and say that they are not charitable.”
Alun Michael: In relation to maximising the number of representatives, may I ask the Committee to consider that the case made by the hon. Member for Cheltenham sounds entirely reasonable because it is a matter of getting an effective discussion that involves the sector? However, there is a danger with the wording that success will be measured merely by numbers, in which case the commission would take Wembley stadium for the meeting. However, that might be less productive and less challenging to the commission in terms of debate and engagement.
Edward Miliband: I fear that—I hate to end the evening on an uncharitable note—both amendments follow the Cheltenham principle. Neither of them is necessary. I hope that I can explain why to the Committee.
The Bill already requires the commission to publish its annual report and lay a copy before Parliament, as right hon. and hon. Members know. The commission’s publication scheme also sets out the classes of information that it intends to make available to the public as a matter of course, the manner in which it intends to publish the information and whether a charge will be made for that information.
Publication schemes are intended to encourage organisations to publish more information proactively. The commission’s publication scheme includes details of its annual report, which it makes freely available on its website. It is also available in print.
Mr. Flello: Does my hon. Friend agree that amendment No.65 puts a technological limit on the Bill? For example, we are already moving towards podcasts. By having websites, what happens in a few years’ time when they are old hat and there is a new form of technology? Does my hon. Friend agree that, by being prescriptive, we are probably being counter-productive?
Edward Miliband: My hon. Friend makes an excellent point. His e-sophistication is greater than mine, and I suspect, than that of most members of the Committee.
That takes me to amendment No. 7, which encourages the Charity Commission to ensure
“attendance by as many representatives of charities as reasonably practicable.”.
I would say—I hesitate to be the defender of the Charity Commission on this occasion and I do not intend to be—that we need to understand what the commission is doing. The Bill sets out detailed requirements for the commission about the timing of advance publicity of the AGM. The commission will be required to take reasonable steps to notify all registered charities of the arrangements for the AGM and to publish details bringing it to the attention of the general public. That will ensure that the main stakeholders in the work of the commission are aware of the AGM.
Since last year—even before the Bill has been passed—the commission has been holding an open AGM as a matter of good practice. It has notified all the main registered charities—there are more than 150,000—of the AGM’s details in advance. It has already communicated, to all the main charities on the register, details of the AGM that will be held later this year.
The commission does, however, limit the number of attendees to two from each charity, although I think that all hon. Members will agree that that is sensible. I wonder what would happen if all, or even asignificant proportion, of the 150,000 charities sent representatives to the meeting—Wembley stadium, even in its rebuilt form, would not be big enough.
The commission is therefore taking important steps to make itself as open as possible and to encourage as many representatives as possible to attend its annual meeting. However, I take on board the interesting and, once again, wise words of the hon. Member for Worthing, West about the need for the commission not only to hold an annual general meeting, but to have a roadshow at which it can talk about its work. I am sure that the commission will be listening and will read the report of our proceedings, and I hope that it will take up that suggestion.
Having said all that, however, I should repeat that neither amendment is necessary. I hope that the hon. Member for Isle of Wight will not press amendment No. 7.
Martin Horwood: I am intrigued by the suggestion from the hon. Member for Stoke-on-Trent, South that the commission’s annual report might be translated into a podcast. Given that podcasts are live-action broadcasts, that would require somebody to sit there reading the report, which might make for a fairly boring podcast and an enormous file size. I am not sure that the hon. Gentleman is quite right about that.
Mr. Flello: I was merely illustrating the fact that there are alternative technologies out there, and who knows what tomorrow will bring.
 
Previous Contents Continue
House of Commons 
home page Parliament home page House of 
Lords home page search page enquiries ordering index

©Parliamentary copyright 2006
Prepared 5 July 2006