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Lord Bach moved Amendments Nos. 41 and 42:
On Question, amendments agreed to.
Schedule 15 [Control of donations to permitted participants]:
Lord Bach moved Amendment No. 43:
On Question, amendment agreed to.
Lord Bach moved Amendments Nos. 45 to 47:
On Question, amendments agreed to.
Schedule 16 [Control of donations to candidates: New Schedule 2A to the Representation of the People Act 1983]:
Lord Bach moved Amendment No. 48:
On Question, amendment agreed to.
Schedule 19 [Control of political donations by companies: new Part XA of Companies Act 1985]:
Lord Bach moved Amendment No. 49:
The noble Lord said: My Lords, on Report the House was told that it was the Government's intention to table an amendment for debate at Third Reading to provide that the definition of "political expenditure" would not apply to business activities such as journalism. The definition of "EU political expenditure", as amended at Report, covers any expenditure incurred by companies in respect of activities which could reasonably be regarded as intended to affect public support for a political party or organisation or to influence voters in a referendum. The definition has been widely drawn to ensure that it
As was mentioned on Report, the Government are conscious that some companies carry on business activities which may, by their very nature, involve the publication or dissemination of material which seeks to influence the views of members of the public. Journalism is an obvious example. It is not our intention that carrying on activities such as the publication of newspapers should be considered as incurring "political expenditure" and we wish to exclude such activities from the definition of political expenditure under Part IX of the Bill. We believe, however, that it would be unwise to risk the rigidity which would result from putting such an exemption in primary legislation at a time when the modes of delivery of news and comment are developing and changing fast, and that it is important to maintain a level playing field for all the relevant forms of media. The amendment would therefore confer a power on the Secretary of State by order made by statutory instrument enabling him to exempt certain categories of company or expenditure from the requirements for the obtaining of approval resolutions in relation to the incurring of political expenditure. The order-making power would be subject to affirmative resolution in both Houses.
I should like to emphasise that the power does not extend to donations to political parties and organisations. Companies which may enjoy the benefits of the exemption will therefore remain subject to control in respect of donations. I beg to move.
On Question, amendment agreed to.
Lord Bassam of Brighton: My Lords, I beg to move that the Bill do now pass. In doing so, I shall say a few words, mostly of thanks and congratulation.
I thank the noble Lord, Lord Mackay of Ardbrecknish, for the constructive part he has played in this legislation. As I understand it, this is his swansong--and a very fine one it is too. He has been witty and amusing, and even more amusing and even more witty in equal measure. He has kept the House greatly entertained through one of the most complex pieces of legislation that I have ever had the pleasure of being a party to. We have gone from zero to total regulation of political parties in one Bill, and the noble Lord, Lord Mackay, mastered the points of opposition to it very well indeed.
I should also like to pay tribute to the noble Lords, Lord Rennard, Lord McNally and Lord Goodhart, for the roles that they have played. I thank my noble friend Lady Gould for her promptings and encouragement, and for her interest in a complicated Bill which has lasted an inordinately long time. The noble Viscount, Lord Astor, ably played his role in support of the noble Lord, Lord Mackay.
The Bill will bring a sea change to the regulation of political parties in our country. It will go a long way to cleaning up the political party act. It brings in the
I shall not detain your Lordships' House further. The Bill has been with us for many months and we have had many long debates, as the noble Lord, Lord Mackay, wittily reminded us at an earlier stage of our deliberations. I am grateful for the support and encouragement I have had, particularly from the noble Lord, Lord Bach, who has been unstinting in his efforts. As ever, his promptings have been very helpful. The officials have played their parts, as has, latterly, the noble Lord, Lord Davies. I would be remiss if I did not mention the noble Lord, Lord Cope of Berkeley, who, on one occasion, stood in famously for the noble Lord, Lord Mackay, to assist the Opposition Front Bench.
I have enjoyed the Bill. It will make a great difference to our politics. For all of those reasons, I wish it well. I commend the Bill to the House.
Moved, That the Bill do now pass.--(Lord Bassam of Brighton.)
Lord McNally: My Lords, it is customary at golf championships to allow the last putt to go to the retiring champion and it is with a real sense of sadness that I say farewell to the noble Lord, Lord Mackay. I make only one point from which others may care to draw conclusions. Since being in the House, I have had two sparring partners. One is now the Attorney-General. The other, the noble Lord, Lord Mackay, goes on to manage Scotland or whatever is his preferment; I have not yet had an opportunity to consult the House Magazine. He will be sadly missed by the Conservative Front Bench.
I am extremely grateful for the support that I have received--100 per cent from my noble friend Lord Rennard and 85 per cent from my noble friend Lord Goodhart. On these Benches we are grateful for both the stamina shown by the noble Lord, Lord Bassam of Brighton, during the passage of a Bill of great length and complexity, and for the help that he has been given by the noble Lord, Lord Bach. Again, he has been rewarded by promotion during the passage of the Bill. I tell you fellows: stick around me and it works.
A final point worth making is that the Bill was in part a response to accusations of sleaze in our political system. However, on whichever side of the House we sit and whatever parties we represent, we know that--whatever misdemeanours have gone before--our political system is carried forward by thousands and thousands of individual volunteers who carry out their work with absolute probity and dedication. My one concern in seeing the Bill go forward is that in some of its detail we may have imposed severe burdens on people at constituency level whose whole commitment to politics has been blameless and exemplary. I hope and trust that they will be able to deal with those rigours.
We wish the Bill well--as we do the noble Lord, Lord Mackay, in whatever new personality he comes before us.
("(8) For the purposes of this Part--
(a) a company does not need to be authorised as mentioned in section 347C(1) or section 347D(2) or (3), and
(b) a subsidiary undertaking does not need to be authorised as mentioned in section 347E(2),
in connection with any EU political expenditure in relation to which an exemption is conferred on the company or (as the case may be) subsidiary undertaking by virtue of an order made by the Secretary of State by statutory instrument.
(9) The restrictions imposed by sections 347C(1), 347D(2) and (3) and 347E(2) accordingly have effect subject to subsection (8); and, where a resolution is passed for the purposes of any of those provisions, any amount of EU political expenditure in relation to which, by virtue of subsection (8), no authorisation is needed shall accordingly not count towards the sum specified in the resolution.
(10) An order under subsection (8) may confer an exemption for the purposes of that subsection in relation to--
(a) companies or subsidiary undertakings of any description or category specified in the order, or
(b) expenditure of any description or category so specified (whether framed by reference to goods, services or other matters in respect of which such expenditure is incurred or otherwise),
or both.
(11) An order shall not be made under subsection (8) unless a draft of the statutory instrument containing the order has been laid before and approved by each House of Parliament.").
7.50 p.m.
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