Charities (Protection and Social Investment) Bill [ Lords ] (Fifth sitting)
Louise Haigh Excerpts(10 years, 1 month ago)
Public Bill CommitteesRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Mr Wilson
I think we are straying into the realms of electoral law rather than charity law, and I am sure you do not want us to stray too far in that direction. The Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Act 2014 applies to all third-party organisations campaigning for a particular electoral outcome. It does not specifically target charities or prevent them from campaigning to further their charitable purposes. The Charity Commission’s guidance CC9 makes that absolutely clear.
The Hodgson review, which is under way and will report in the next couple of months, will look at all those issues and consider in detail all the representations that are made to it. I think the Opposition should have waited for the review to see the detail of the representations made and whether there is evidence that things are going wrong and that the so-called chilling effect is taking place.
There is no bar to charities or student unions holding husting events, provided they do so in a balanced, even-handed way that furthers the charity’s purposes. Like many other Members, I am sure, I attended the student union debate in my constituency. I am very surprised that any student union was worried about putting on an even-handed debate, open to all parties.
The Charity Commission’s guidance is clear and comprehensive. Unlike primary legislation, guidance can be relatively easily updated, with proper consultation to ensure that it reflects current case law and other developments, such as the rise of social media. In recent years, there have been cases where charities, inevitably, have strayed on to the edges in what they are doing in social media. The guidance on that is obviously fairly new, and it is important that it is there.
I would say simply that the new clause is unnecessary, unless the hon. Member for Redcar and her colleagues are arguing that charities should be able to engage in party politics, in which case I very strongly object. What we heard about the Badger Trust emailing its members asking them to go to a single party political event and sort of supporting the manifesto elements that had been introduced would fall into the category of party political activity. We should keep charities and party politics completely separate. Where charities engage in non-party political activity, they should take extra care to protect their independence and to ensure that they do not give the impression of being politically partisan in any way, and that is the category that would apply with regard to the Badger Trust.
It is right that we have an independent regulator in the form of the Charity Commission to investigate concerns where charities may have overstepped the mark of what is acceptable, and some have done that in social media in the last couple of years. Where the dividing line between charitable and political becomes blurred and charities come to be seen as politically biased or aligned with a particular party, there is a real risk of public trust and confidence in charities being degraded. One of the charities’ strengths is their independence and their ability to stand outside politics, and I would really hate to see that undermined by the new clause.
Louise Haigh (Sheffield, Heeley) (Lab)
In the last Parliament, before I was an MP, I had a little back and forth with a charity known as the New Schools Network, which was set up by a former special adviser to the present Secretary of State for Justice deliberately to implement Government education policy on free schools. To me, there is a clear clash there between charitable status and implementing a particular political party’s policy stance, but this Government have made no effort to address that. Given that that was a clear breach and that the Charity Commission actually had to investigate the charity in question, I do not feel that the Minister’s point about making sure that charities are separate from party political activity stands.
Mr Wilson
As far as I am aware, there was no finding of any inappropriate party political activity against the New Schools Network. People can make complaints about all sorts of things, but whether those are found to have any evidential base is quite another thing. There are lots of examples of think-thanks and other organisations that are charities that want to put forward new ideas in the educational sphere, and as long as they have an educational purpose and they stay outside party politics, there is absolutely no reason why they should not do that. Just because, in the early days of the new free school network, the Labour party opposed free schools, that does not mean that that particular organisation did not have the right to exist. The fact that the Labour party did not like what it was saying is neither here nor there; it had a right to express its views freely, as I and others here—[Interruption.] As long as they are not party political—I have made that absolutely clear.
Anna Turley
I gave examples during my speech. I will be happy to resurrect them on Third reading and to submit them. Going back to the point about the independence of student unions, a university in my area cancelled a hustings because it was extremely cautious. It had sought expensive legal advice and did not proceed because it was not sure that it was sufficiently meeting its charitable status in the number of people and different parties it was inviting. That is a clear example from my constituency.
The 2014 Act is a classic incumbency piece of legislation from a political party that has gone far from its roots and become immersed and entrenched in Government, pulling up the drawbridge and becoming separate from the ideals that drive politicians and the sector. I believe that it is incumbent on all political parties, but particularly in Opposition, to listen right through to the day of a general election to the challenges that civil society sets out to us, its problems with the policies we make and how it exposes to us the challenges facing society. We do not have all the answers, but it is important that, as I said, right up to the day of a general election we continue to listen. That Act had, as the sector has identified, a clear effect on its ability to do that.
Louise Haigh
The indignation of Conservative Members that this would not apply if charities were acting in this way toward their own party is a little hard to swallow when, as my hon. Friend said, the Government are attempting to weaken FOI. I note that the Minister did not respond to that point. I hope he will intervene and correct me. This year, the Government, including his own Department, failed for the first time in 50 years to publish Cabinet papers due to the National Archives and failed to come to the House and explain why. I hope the Minister will intervene and correct me on both points, or provide a timetable for action.
Anna Turley
I thank my hon. Friend because she is absolutely right. Every political party comes into Government with the best ideals—we heard from the coalition that they would be the most open, transparent and accountable Government ever. Suddenly the fear sets in, and when they start to hear from the public things they do not like it is easy to pull up the drawbridge. We are seeing that with a range of measures from the Government.
Turning briefly to badgers—we have heard a lot about them today; I am very fond of them. I have not seen the email, but despite what Government Members have said, I am still struggling to understand the issue—[Interruption.] The Minister sighs in despair. I will try to explain and perhaps he will show some tolerance for those of us who are struggling to keep up.
If a charity has aims and objectives such as saving badgers, it might write to all political parties setting out what it would like to see in their manifestos, setting out its aims, ambitions and aspirations. One of those political parties might write back saying, “Fantastic; we love badgers too. We want to put that in our manifesto and to have an event to launch it. We want it to be part of our rural ambitions.” Would it not be understandable if that charity engaged with that political party, attended events, and discussed, debated and challenged that manifesto to promote its cause?
Charities (Protection and Social Investment) Bill [Lords]
Louise Haigh Excerpts(10 years, 2 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Louise Haigh (Sheffield, Heeley) (Lab)
This is my first time at the Dispatch Box responding to a Bill, so may I say that it has been a pleasure listening to learned contributions from hon. Members on both sides of the House? I would have liked a few more hon. Friends to be behind me today, but I assure the House that the fact there are not is not a signal of our disinterest but one of our wholehearted support of the Government’s objectives in the Bill.
This has been an important and helpful debate, and I congratulate all Members who have participated in it and everyone who has been involved in getting the Bill to this place, particularly our colleagues in the other place. We have had a small number of contributions, but fortunately this debate has been defined by its quality, not its quantity.
The hon. Member for Congleton (Fiona Bruce), who brings extensive experience in the sector, spoke about the difficulties in encouraging trustees to charities. She also discussed concerns about giving the Charity Commission the power to judge whether a potential trustee had committed misconduct and about powers to publish a warning notice, risking enormous damage to a potential trustee’s reputation.
The hon. Member for Edinburgh East (Tommy Sheppard) spoke about how the Bill cannot be viewed in a vacuum and should be viewed in the context that charities in our communities are increasingly being asked to do more with less, as the cuts, particularly those to our local authorities, bite further.
The hon. Member for Erewash (Maggie Throup) paid tribute to the many volunteers across her own community who respond to vital need, just as they do across all our communities. All of us will have fantastic charities that fill sadly much-needed demand in our constituencies, but I will not put your patience to the test by listing all the ones in my constituency, Madam Deputy Speaker.
My hon. Friend the Member for Clwyd South (Susan Elan Jones) praised the charitable sector for developing the fundraising preference service, demonstrating the willingness of the sector to tackle issues highlighted by the Bill.
The hon. Member for Aldridge-Brownhills (Wendy Morton) spoke passionately about her experience of volunteering, the impact of small charities in her constituency and her own private Member’s Bill on supporting the renowned, fantastic work done by the Great Ormond Street Hospital Children’s Charity.
The hon. Member for Newark (Robert Jenrick), a fellow former corporate governance practitioner, spoke about how we must ensure that small charities do not pay the price for the mistakes of larger, misbehaving charities. He made reference to Kids Company, whose case has had ripple effects across the whole sector. I am glad that that charity has not dominated our debate today, because, as he said, it is an outlier, at best.
Today's debate has provided a platform to debate the much-needed powers that will allow the Charity Commission to regulate the sector better, but first I wish to echo the feelings of Members on both sides of the House by saying that we know the special role charities play in our constituencies and in the country as a whole. As the Minister for the Cabinet Office and Paymaster General rightly said, “the work charities do transcends politics and unites” this House. Britons donate billions of pounds per year, and very often it is those without a great deal donating what they can to the causes close to their heart or to those in need in the community around them.
Charities are also the vehicle by which many of us can try to make a difference for the communities in which we live. Figures vary, but the latest estimate is that nearly three quarters of us of do some form of volunteering for charities at least once a year. To put it simply, the values and ethos of those nearly 1 million trustees who give their time to make our country a kinder and more interesting place are the best of Britain.
We know, therefore, that charities have a great deal of good will and public support. As my hon. Friend the Member for Redcar (Anna Turley) rightly said in opening for our side, they support our vulnerable and our sick and elderly, and give people the chance to change lives. With that in mind, it is vital that charities and their regulator have the appropriate powers to act in the extremely rare event that misconduct occurs.
As we have heard, deliberate wrongdoing in charities is extremely rare, but it is important that the regulator has the power to take robust action where it does occur. We know that the measures in the Bill to prevent trustees who are not fit to hold the position from serving as trustees are widely supported by both the public and charities themselves—this is simply common sense.
We therefore support Government moves to close the loopholes and strengthen the Charity Commission in this important aspect. As Members across the House will know, the Charity Commission already has a wide range of compliance and enabling powers, but there are underlying weaknesses, including a limit on the commission’s ability to prevent and/or tackle abuse in charities. The powers the Charity Commission did have were not powers that we would expect a modern regulator to hold—they did not go far enough—so we welcome the strengthening of its powers.
In securing these new powers, we will enable the Charity Commission to regulate more effectively. We know that it is of the utmost importance that we are able to find the right balance between having good governance that gives people the confidence to support the sector and ensuring that charities have the freedom to be able to do what they do best—being brave in their determination to build a better society, innovating, responding to the challenge of today and tomorrow, and delivering effectively and with value for money.
As we have heard, the vast majority of charities and trustees act in the interest of their beneficiaries, but the poor governance and unscrupulous fundraising activities of a few undermines confidence in the whole sector. We therefore welcome this Bill, and we very much welcome the new social investment powers and powers to disqualify trustees. But we would not be an effective Opposition if we did not point out areas of room for improvement.
We are disappointed that the Government will seek to overrule the other place by removing clause 9, a vital amendment that protects charities from arbitrary rulings requiring them to dispose of their assets in contravention of their charitable purpose. I hope we can revisit that matter in Committee and that we can do so in the same cross-party manner of this debate.
A number of hon. Members have made good points on fundraising, on the very important protection of minority views, which we in this House should hold so dear, and on ensuring the balance between regulation and enabling charities to do good in their communities. I know that the Minister will have been listening closely to this debate. I hope that we can work together on a cross-party basis to improve this Bill at Committee stage. With that, I can assure the House that we are happy to support this Bill on Second Reading.
Oral Answers to Questions
Louise Haigh Excerpts(10 years, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Matthew Hancock
The hon. Gentleman is absolutely right that compatibility and interoperability must be at the heart of everything we do. They are at the heart of the digital standards that we require to be adhered to right across Whitehall. For a citizen, it does not matter what the acronym is of the organisation that they are trying to deal with, they just want their Government service delivered quickly and easily.
Louise Haigh (Sheffield, Heeley) (Lab)
My hon. Friend the Member for Newcastle upon Tyne Central (Chi Onwurah) is absolutely right that the levels of turnover in the Cabinet Office and the GDS are unacceptably high, and over the summer we saw the exodus of senior leadership amid concerns that the future of the service will be downgraded from a delivery service to a policy unit. We also note that businesses are losing on average 33 working days a year because of outdated Government digital services. Will the Minister reassure the House today that his Department is resisting cuts in the comprehensive spending review, as those cuts will seriously damage the prospect of thousands of businesses across the country?
Matthew Hancock
I can repeat the facts that I gave the hon. Member for Newcastle upon Tyne Central (Chi Onwurah) before the hon. Lady read out her question. The turnover in the GDS is lower than in the rest of the Cabinet Office. Furthermore, we put more money into digital services in the Budget. Perhaps she should look into the facts before asking questions.