PARLIAMENTARY DEBATE
EU Referendum: Electoral Law - 27 March 2018 (Commons/Commons Chamber)
Debate Detail
That this House has considered the EU referendum and alleged breaches of electoral law.
Thank you, Mr Speaker, for helping to facilitate this debate, which as you said yesterday, was in order for an emergency debate under Standing Order No. 24. I start by reminding colleagues of what the Prime Minister said yesterday about Brexit:
“They want us to get on with it, and that is what we are going to do.”—[Official Report, 26 March 2018; Vol. 638, c. 525.]
She also dismissed concerns about Vote Leave’s activities, in answer to a question from the hon. Member for Airdrie and Shotts (Neil Gray), who is not in his place but was here yesterday. She is hiding behind an increasingly tatty and threadbare comfort blanket—the will of the people: her sole justification for the disastrous act of self-harm she is imposing on the country. She has not in this place been able to deploy any sound economic, diplomatic, cultural or security reasons why Brexit is good for the country, but she has frequently referred to the will of the people.
The Prime Minister does not appear willing to entertain any prospect that the allegations are true and that therefore the will of the people might have been usurped and the people cheated. It was my concern that the law might have been broken that led me to refer the matter to the Electoral Commission and the police.
I want to focus briefly on the Electoral Commission. This is how its website describes its role in relation to referendums:
“Our focus is on voters and on putting their interests first. Our objectives for referendums are that:…they should be well-run and produce results that are accepted…there should be integrity and transparency of campaign funding and expenditure”.
It is safe to say that neither of those objectives was met with respect to the EU referendum campaign—I am not blaming the Electoral Commission but others involved in the campaign.
What action has the Electoral Commission taken to date? The allegations we read about this weekend were new allegations, but there were existing allegations working their way through the system. I thank WhatDoTheyKnow, openDemocracy and FairVote for their work on this issue. They obtained internal emails from the Electoral Commission that described Darren Grimes’ spending as “unusual”. I think we can all agree it was remarkable that someone whose organisation in the first 10 weeks of its existence apparently managed to raise £107 was given £625,000 to spend in a completely uncontrolled manner. It is remarkable that such confidence was placed in that organisation and the one or two people behind it.
In the internal emails, the Electoral Commission described Grimes’ spending as “unusual” and found that he broke some of its rules, but it decided to take the matter no further as there were “no reasonable grounds” to believe that Vote Leave and Grimes had been working together.
I must say that the Electoral Commission will have to have very clear reasons if it does not believe this to be the case now, following those new allegations from three whistleblowers at the heart of the Vote Leave-BeLeave machine. It is worth underlining that they are new allegations. What we have heard from the supporters of Vote Leave is “All this has been investigated. There is nothing new here”, but these allegations from three whistleblowers at the centre of the organisation are completely new. These are matters that have not been investigated. Anyone who supported Vote Leave and is now saying, “Don’t bother, it has been done” is wrong.
The new nature of the allegations is critical, because the Brexit cheerleaders, such as the Foreign Secretary and the Secretary of State for Environment, Food and Rural Affairs, have been quick to say “Nothing to see here. Move on. The result must be respected. Vote Leave won fair and square.” They will pretend that all this has been investigated before. It has not, and only when it has will we know whether the trail of deceit which so publicly started with the incredible slogan slapped on the side of that infamous red bus—the Foreign Secretary’s comprehensively demolished claim that there would be £350 million a week for the NHS, which he keeps repeating to this day—leads directly to today’s Cabinet table.
Open Democracy states:
“The referendum saw a number of different groups register as campaigns on each side. These campaigns were given spending caps, designed to limit how much the rich can sway our democracy. But if one campaign can simply get round its limit by donating to another on the same side, then the cap verges on meaningless. And so Electoral Commission rules are meant to restrict campaigns from getting round spend limits in this way.”
The question, therefore, is whether the commission interpreted the law correctly originally, and how it will interpret it now, given what I believe is substantial new evidence.
If the Electoral Commission did indeed interpret the law correctly, we should note that Open Democracy also states:
“As a registered Leave campaigner, Grimes was allowed to spend”
£625,000
“during the referendum. Earlier this year a Vote Leave source told a parliamentary committee that it had enlisted Mr Grimes’s BeLeave campaign because it was close to breaching its £7 million spending limit and wanted to ensure all the money it had been given would be used. Under UK electoral law, this is fine. The Electoral Commission has ruled that such donations are allowed—so long as there was no ‘plan or other arrangement’ between Darren Grimes and Vote Leave about how the money was spent.”
In other words, one organisation, Vote Leave, can pass a huge amount of money to another, just before it would break the legal limit if it carried on spending. Although that second organisation is very familiar with the activities of the Vote Leave organisation—indeed, co-located with it, using the same supplier for the delivery of targeted messages and, presumably, the same or a remarkably similar specification for the work that Vote Leave pays for—the law says that the two are not acting in concert. If that is a correct interpretation, or indeed if that is how the Electoral Commission will interpret the law once it has considered the new evidence, I must say that I think the law is an ass and will need to be changed, because what it means, in effect, is that there is no limit to the amount that third parties can spend on supporting the main designated campaign organisation in any future referendums.
I want to focus briefly on the issue of the Electoral Commission’s resources. It has confirmed in answer to my letter that it does have the resources it needs. I welcome that and take its word for it; however, when I was a Minister and had some responsibility for this area I was aware from contact with charities, political groups and others that the Electoral Commission often struggled to respond to queries in a timely manner, and there was always an appetite for more guidance and more detailed guidance. Perhaps the resourcing has changed, as it seems to be confident that it has what it needs to investigate this, but, as I said earlier, my hon. Friends and I have concerns about the progress made on some of the existing inquiries.
As long ago as 10 March last year Lord Tyler drew the attention of the Minister in the Lords to the fact that the leave campaign stood accused not only of lying in the substance of its campaign, but of cheating in the process of delivering it. He instanced the claim, which others have just referred to, by Arron Banks that Cambridge Analytica had played a crucial role in the campaign and “won it for Leave”. He also described the use of a very substantial anonymous donation to the Democratic Unionist party, as has also been mentioned, to fund a campaign wholly targeted at the British mainland. I am a little perplexed as to why those on the Conservative Benches do not get aggravated about the fact that in the UK it is fine for a very large anonymous donation to be made to a political party such as the DUP and for it then to be spent not in Northern Ireland. That smells rather bad to me, and I am surprised that Conservative Members do not share my concern.
I am now going to ask the Minister some questions which I hope she will be able to answer. In some respects I feel sorry for her in this, as I know her to be a very fair Minister. I would much rather have had the Foreign Secretary here to answer questions, because he has a lot of questions to answer in this respect, including on the role he played in the Vote Leave campaign.
I hope the Minister will be able to explain why the investigations of the existing allegations have taken so long. Is that a question of the Electoral Commission or the police lacking appropriate powers or resources? We have heard that the Electoral Commission has said it is not a resource problem. Is there a discrepancy between the different statutory regimes for elections on the one hand and for referendums on the other, which cause difficulty in the examination of infringements? Do these differences cause particular problems when seeking to establish illegal collusion or ineligible donors?
Can the Minister also set out what action the UK Government intend to take to address any failings in electoral law they or the Electoral Commission have already identified, and set out what mechanisms are in place to right past electoral wrongs? Given the narrow margin of the result—for every 17 people who voted to leave, 16 voted to remain—does the Minister recognise that continuing doubts about the referendum’s integrity fuel challenges to the legitimacy of the entire Brexit process? Is the Minister confident that no one who works for the Conservative party, or indeed Ministers or the Prime Minister, is going to be charged as part of this investigation?
I will conclude by saying that whether people voted leave or remain, they are entitled to know that the EU referendum campaign was fairly and squarely delivered, or that people were in fact cheated and the law was broken. As Members from all opposition parties, at least, have said, this will require a thorough investigation. It requires Ministers to refrain from the Trumpian tweeting preferred by the Foreign Secretary, who has already said that there is no case to answer before the case has actually been heard.
This debate needs to be taken extremely seriously. It is not about who won or lost the referendum; it is about the integrity and security of our democracy and electoral system. Any of the sceptics who have cast doubt on the nature and quality of the evidence of the whistleblower, Chris Wylie, should watch the four hours of testimony that I watched today before the Digital, Culture, Media and Sport Committee: it was absolutely shocking and astonishing, and it should go to the heart of anybody who cares about our democracy.
Mr Wylie laid out clear evidence of serious lawbreaking by the leave campaign: not only collusion between Vote Leave and BeLeave, which is the one that has got most publicity, but collusion between Vote Leave and some of the other leave organisations, including Veterans for Britain, and indeed the DUP. Each of those organisations used either Cambridge Analytica—we know all about that, having heard the revelations last week about how it illegally harvested the Facebook data of tens of millions of people—or Aggregate IQ, a supposedly separate company based in Canada. It is not separate at all; it is all part of the same organisation. We know that 40% of Vote Leave’s budget was spent on Aggregate IQ and the work that it did. We still do not know how AIQ got that data, where the data came from or whether it was legally obtained and used. These are serious questions, and I am very pleased that the Chairman of the Digital, Culture, Media and Sport Committee, who is a Conservative, is clearly taking the allegations seriously. He will be putting them to the Prime Minister at the Liaison Committee later this afternoon.
Mr Wylie provided compelling and credible evidence not only of the collusion but of the effectiveness of the targeted advertising campaigns that these data companies conduct, based on the data that they have. In the case of the referendum, the campaigns were targeted on 7 million voters whom the companies had carefully profiled as people whose opinions they could shift. In his evidence to the Committee today, Mr Wylie produced a staggering statistic. He said that, in his experience, the methods used by Cambridge Analytica and AIQ in this case would have had the potential to shift between 7% and 10% of the people targeted. Let us not forget that he was and remains a leaver. He wants Brexit to happen, but he does not want it to happen based on a fraud on the British electorate. He said that
“it is completely reasonable to say that there could have been a different outcome in the referendum if there hadn’t been, in my view, cheating”.
There have been attempts to discredit Mr Wylie. There was even a disgraceful attempt from Downing Street to discredit one of his co-whistleblowers by, among other things, outing him as gay. I am amazed that the man who did that is still in his job, because that was totally unacceptable. Let me tell those people who are trying to discredit Mr Wylie that he is one of 200 people who have been allowed into this country because of their brilliance. He has been allowed a special visa because of the amount he knows about how all this stuff works. I do not have a clue how it all works, but he is one of the world’s leading experts, and he is a very serious whistleblower. Not all Conservative Members dismiss his evidence, but those who do do so at their peril. Let us just wait and see where all this ends. Mr Wylie also made a very worrying statement, and I think that this is the first time that a connection has been made between Cambridge Analytica and the Russian FSB—although I had heard about it privately—via the work that it did for the Russian oil company, Lukoil.
It must be clear to everyone in the House, whatever their view on Brexit, that the powers and resources of the Information Commissioner and the Electoral Commission are wholly inadequate. If the Government were serious about getting to the truth by letting the commissioners do their job, we would have less of this “what-aboutery” and more action and support for the Electoral Commission and the Information Commissioner, in terms of their powers and—critically and more immediately—their resources. Mr Wylie has been working for many hours with the Information Commissioner, and one of the worrying things he told the Committee was that he had had to explain to the officials in that office what all this was about. They do not have enough technical experts. They do not have people who actually understand how all this works and what has been going on. In my view, this guy should be employed by all the global regulators, because he seems to be one of the few people who knows how this electoral corruption works, not only in our country but elsewhere. There was loads of evidence, for example, about what has been going on in Nigeria and in parts the Caribbean. This is not just a problem for this country.
Finally—this is slightly away from the evidence given by Mr Wylie today—I have received other new information that also concerns me. Members will recall the dreadful murder of Daphne Galizia in Malta last year. At the time she was murdered, I am informed that Ms Galizia was investigating Pilatus Bank, which had its assets frozen last week owing to fears of money laundering. She was also investigating Cambridge Analytica and Henley & Partners, which sells citizenship in Malta, and there are other links with the Legatum Institute, concerns about which I raised in the House several months ago, and the mysterious Maltese professor, Professor Joseph Mifsud, who is named in an indictment by Robert Mueller’s inquiry. All those matters need to be examined incredibly carefully, and I want the Minister to give a full and categorical assurance that, given the significant British links, the Maltese authorities that are investigating such matters will receive the full support and co-operation they need from our law enforcement, intelligence and security agencies.
I start by paying tribute to the dedicated, fearless journalism of Carol Cadwalladr over the past year. She has led us to the extraordinary revelations that we are debating this afternoon.
Much of the discussion so far has been about the validity of the referendum vote itself, but I want to argue that this goes much deeper and wider than that single vote, vastly important though it is. The revelations by The Guardian, Channel 4 and others over the past few days go right to the heart of the kind of country we think we are living in. I argue that they demonstrate that current electoral law is woefully inadequate. I think they show that the regulation governing our democratic processes urgently needs to be updated and reformed. They show, I believe, that something is rotten in the state of our democracy.
The combination of big money and big data is overwhelming the chronically weak structures that are supposed to protect us against cheating and fraud. As others have said, we are trying to apply laws from the analogue era to the very different reality of the digital age, and it simply is not working. It took the Information Commissioner almost a week to get authorisation to get through the front door of Cambridge Analytica, during which time presumably the delete button had been pressed a great many times. The Electoral Commission, meanwhile, has been investigating claims of the misuse of electoral funds for almost a year. Why on earth do we not have rules that require donations to be reported in real time, and the same for spending? Why do we not have a body with more resources and real teeth? Things urgently need to change.
Electoral law is based on two fundamental principles. The first principle is that parties and candidates compete on what should be a level playing field in terms of resources, which is presumably why we have national and local spending limits in elections. The second principle is that elections are open and transparent, so parties and candidates have to be transparent in their communications with the voters and it is unlawful to make false claims in those communications. The allegations about the true nature of the relationship between Vote Leave and BeLeave suggest that there may well have been cheating when it comes to the first principle, and the investigations into Facebook and Cambridge Analytica, and the spending of huge sums of money on micro-targeted political advertising based on data harvested from voters’ social media profiles, suggest that the second of these two principles is also under great strain in the digital age.
Frankly, Facebook’s desperate adverts on the back pages of Sunday’s newspapers, just a couple of days ago, suggest to me that it knows that its bubble is bursting. We now need to update the law to ensure that people are protected from this social media mega-monopoly. Just because the chief executives of Facebook and Google wear T-shirts to work and turn up on skateboards does not mean that they are not aggressive capitalists, and we need to get a bit wiser to that fact.
The law regulating campaign activity and finance—the Political Parties, Elections and Referendums Act 2000—was drawn up almost 20 years ago, long before Facebook or Twitter even existed, let alone had any role in political campaigns. It is considerably more difficult to ensure the compliance of adverts on social media than the compliance of adverts in newspapers or on billboards. Voters simply do not know what is being done with their data by a company that, ultimately, wants to make as much money as possible from the information it has on each of us. Not surprisingly, the regulators struggle to regulate.
This undoubtedly presents a complex challenge to all politicians, as social media platforms overtake the national and local press and media through which we have traditionally communicated with our electorate, but without the same level of transparency and scrutiny. However, it is a challenge that we must meet. The need for a reprogramming of the way parties and campaigns are funded could not be greater. Whether it is donations from Russian oligarchs on one side of the House or from former Formula 1 bosses on the other side, people are sick and tired of a politics that is awash with big money without proper oversight. I argue that the case for state funding for political parties could scarcely be stronger.
The revelations by Shahmir Sanni about Vote Leave and BeLeave raise related but somewhat different questions, some of which need to be addressed to, and answered by, certain Members on the Government side of the House, for they strongly suggest that some of those who worked for the official Brexit campaign during the 2016 referendum, some of whom now work for the Prime Minister in Downing Street, committed criminal breaches of electoral law on overspending and collusion. Vote Leave, whose leading members included the current Foreign Secretary and Environment Secretary, formally declared it had spent £6.77 million during the 2016 campaign—this was within the £7 million limit. But that sum does not include a £625,000 donation that Vote Leave gave to BeLeave, the Brexit campaign aimed at students and young people, which BeLeave spent on the very same digital marketing company, Aggregate IQ, used by Vote Leave. As the right hon. Member for Carshalton and Wallington (Tom Brake) set out powerfully, there is substantial evidence of constant communication between Vote Leave and BeLeave, which were based in the same office, shared the same computer drive and seem to have had advice going between them as to the setting up of their constitution, their bank account and so on. It is insulting to suggest that these two organisations were not co-ordinating very, very closely.
So it is simply not good enough for the Prime Minister to have airily dismissed the questions that were raised by these revelations as she did in the House yesterday. I might add that her attempts to brush off complaints about the disgraceful outing of Shahmir Sanni were beneath her and bring shame on her office. If the laws were broken, those involved need to be brought to justice, because if they are not, and if we do not fix the shortcomings of our electoral law and its regulation, this Government will go down in history as the one who sat and watched while the very lifeblood of our democracy drained away, and voters will have taken back control for nothing. That is why I also think we need an independent public inquiry to establish, as a matter of urgency, whether electoral law was broken by any of those working for Vote Leave and BeLeave, and, crucially, what current Ministers knew at the time.
So many things need to be said in this debate that it is hard to know where to start. The three contributions we have heard so far all referred to the recent revelations about the close relationship between Vote Leave and BeLeave, and what that might mean for the ongoing debate about Brexit and the referendum. I agree with all that has been said: there are serious questions that need to be fully investigated by the Electoral Commission, and no stone should be left unturned in understanding who knew what and when.
Having said that, I want to make some different observations about what recent events suggest about our politics and our democracy. At heart, I fear there have been appalling and repeated abuses of power. What seems to have gone on within the various different elements of the leave campaigns just does not sound right. We are talking about people with years of experience dealing with campaign volunteers, some barely out of university, and advising them on setting up a separate legal entity, through which serious funds end up being channelled, at a time when some of the individuals in question are having a campaign fling, only for that relationship to be outed 18 months or so later in a statement from No. 10—the whole thing stinks.
I do not know whether criminal offences have been committed or whether electoral law has been broken, but I am pretty sure that people have abused their power. I may be naive, but I am a firm believer in decency in public life: doing the right thing, even if it may not be to your own immediate personal interest or to your party’s or your campaign’s electoral advantage. Some people would say that I am not cut out to be a politician, and perhaps I am not, but this insidious, cynical, arrogant, perpetual game playing has to stop. It has real consequences for real people’s lives. It will also kill our democracy, and I am sick of it. Perhaps it was my upbringing, but I have some pretty basic values. You do not lie. If you do something wrong, you admit it. You treat people the way you would want to be treated. You respect the law—the letter of it as well as the spirit of it. You play fair; you do not play dirty. In having power, your primary duty is to exercise it responsibly.
I have read the reports over the past few days and looked at some of the emails that were exchanged between some of the key players, and I am worried that what I see is a corrosive abuse of power. If we want the British people to have faith in us, we need to find a way to conduct our politics with decency. I fear that the opposite is currently the case. It has to stop.
We are talking about the electoral law on which our democracy is based. People watching this debate will be asking themselves whether the referendum was a cheat. Was it based on a lie? Were the economic dice loaded with illegal and dark money? Were the electorate cynically manipulated by Cambridge Analytica, which illegally harvested people’s Facebook data without their knowing it and manipulated their choices to take us on the journey we are now on, which is going to take us into economic Armageddon?
I suggest that I limit my comments here to Cambridge Analytica, its abuse and manipulation of British voters and the dirty money behind it.
People seem to have this misconception that the Brexit result was not close, but I put it to you, Mr Speaker, that if we ushered 33 people into a room, and 17 voted one way and 16 the other, that is the most marginal vote that we could get. That vote could be swayed by Cambridge Analytica and by the other forms of manipulation. It is in sharp contrast to the natural and rightful instincts of British people that this is simply not fair play.
For the record, the Government Benches are virtually empty. They may be 1% full—I do not know—but, frankly, it is pathetic. I am very grateful to have the opportunity to point out that the Government do not seem to care about the integrity of democracy and the law.
Even before this unhappy episode, people were already saying that the Foreign Secretary had stood in front of a bus claiming that we would spend £350 million a week on the NHS, had said that he favoured the single market and would vote for it but now says that he does not, and had said that we would take back control but of course we have not have had democratic control in this place because it has been given to Ministers. People are saying, “Hold on—that’s not what we voted for.” They are questioning whether there is legitimacy in what has been happening. They are saying to me, certainly in Swansea, that what they now want, in terms of fair play, is to have a vote on the deal having checked that it does satisfy what they were promised.
But now we are in a completely different ballpark. We are saying that those people were not only misled but cynically manipulated through Facebook, with millions of voters involved in dirty money. The British people are saying, “Hold on—let’s have another look at this.” They are already saying to me, as to everybody, “This whole Brexit process is taking too long, it’s costing too much, we didn’t know the facts, it’s terribly complicated, the EU is running rings round us, and the UK is incapable of negotiating properly. There is a problem here and there needs to be a solution.” That solution, they are saying to me, is that they want a public vote on the deal. Now we have this situation with Cambridge Analytica, which is completely in breach of fair play. Anybody who thought, “Actually it would be unfair to have a vote on the deal because we’ve had a vote”, now realises that what fair play demands is to move forward and have a final vote on the deal.
People like the Brexit Secretary have said, “Democracy isn’t democracy unless it has the right to change its mind.” I agree. People like Nigel Farage have said, “It would be unfinished business if the vote was 52:48—we need a two-thirds majority.” People like the Member for—I have forgotten his constituency. The Member for Somerset—you know, Moggy—said that we should have a second—
As we go through this unhappy episode and find that we have had electoral breaches, that there is an inherent breach in our democracy, that there are questions over the legitimacy of the referendum, and that there is a need for fair play, people are now asking whether Facebook and Google should have these sorts of powers. Should they not be publicly regulated, as they are becoming very much instrumental in our democracy and we need to overturn that so that the public and our democracy can be protected?
People who were 13 during the referendum will be 18 by the time it is now planned to leave. Surely their futures are paramount. Sadly, many of the people who voted will not be with us then any longer. Now that we are seeing the legitimacy of these votes cast into doubt, surely there is a compelling case, in terms of fair play, that the public should have a vote on the deal. We should move forward, refresh and renew our democracy, and do the right thing for Britain.
I have been contacted by leave voters who are disturbed by these allegations. Many leave voters are very patriotic people who believe that one of the key traditions and values of this country is that we respect the rule of law and do not allow cheats to prosper. This issue can bring Parliament and both sides of the debate together. Whoever cheated during the referendum—if anyone cheated—needs to be held to account.
I want to be a little clearer than the debate has been so far about how the Electoral Commission, which is key to this, thinks about whether there has been cheating. The Electoral Commission’s guidelines about whether a campaign has colluded are quite clear. It sets out three criteria for whether campaigns are highly likely to be working together.
The first is whether the campaigns spend money on joint advertising campaigns, leaflets or events. The evidence brought forward by Fair Vote, which can be seen by anyone at www.fairvote.uk, suggests that Vote Leave and BeLeave co-ordinated with the same digital strategy vendor, Aggregate IQ, so there does seem to have been co-ordination between their advertising campaigns.
The second test the Electoral Commission has set out is whether campaigns have co-ordinated their spending with another campaigner. The evidence produced by FairVote is very clear: it shows that BeLeave appears to have been assigned specific responsibility for the youth audience by Vote Leave. That is co-ordination and collusion.
The third test on cheating set out by the Electoral Commission is whether a campaign can approve or has significant influence over the spending of another campaigner. Again, the dossier shows that BeLeave was based at Vote Leave HQ, as we have heard, and appears to have reported to Vote Leave directors and shared all its information with their staff.
In other words, the three tests put forward by the Electoral Commission on whether illegal collusion has occurred appear to have been met, according to the evidence in this dossier. I urge all right hon. and hon. Members to read and think about it before they tweet in the way that was done by the Foreign Secretary, who at the weekend dismissed these allegations as ludicrous.
The Foreign Secretary may well have tried to dismiss these allegations, because if they prove to be true, the investigations and inquiries that we all want to follow this debate and public discussion may well want to ask him questions. Ultimately, he was in charge of and a key player in the Vote Leave campaign, and people will want to know whether he knew about this collusion. Did he know that moneys were going from Vote Leave to BeLeave? Did he know that the staff of both campaigns were colluding and working together? Did he know that Aggregate IQ was being used by both campaigns in a very similar way? These are very serious allegations, and we need to have independent inquiries. The same questions could of course be applied to the Secretary of State for Environment, Food and Rural Affairs.
I would like to ask the Prime Minister whether she has asked her Foreign Secretary and her Environment Secretary about what they knew. If she is in charge of her Government, she ought to be asking her Ministers what they knew, given the severity and gravity of the allegations now in the public domain. If she is not getting good enough answers from the Foreign Secretary and the Environment Secretary, she should be taking action. There is another issue with regard to the Prime Minister’s responsibilities, which is that she has key members of staff in No. 10 who were staffers in these campaigns and appear to be part of the alleged collusion. At the very least, she should be asking them questions and getting assurances from them, and if those assurances are not good enough, she should take the appropriate action.
I want to ask the Minister whether the Foreign Secretary was speaking for the Government when he pushed aside these allegations as nonsense. Is that what she will say at the Dispatch Box in a few minutes’ time? Does she, speaking on behalf of her Majesty’s Government, agree with the Foreign Secretary that these allegations are all complete nonsense—before they have been investigated? That would be a quite extraordinary position for Her Majesty’s Government to take, and particularly for the Foreign Secretary to take, given that he is supposed to speak for this country about the rule of law in other countries—and one wonders, doesn’t one?
It is because the allegations are so grave, affecting the most momentous decision this country has taken since the second world war, that the Liberal Democrats, supported by all colleagues on the Opposition Benches, are absolutely right to ask these questions of the Government. Just because there is no Division after this debate does not make these questions and this debate something the Government can push aside. I say to the Minister that we will be coming back and back again to this until we have answers. When the Electoral Commission reports, the Information Commissioner reports and, hopefully, the police report, those reports need to be published and debated here in this House. We will not let this lie. Why? Because we want to defend British democracy. We want to defend parliamentary sovereignty. We want to defend the rule of law. I hope the Minister will say from the Dispatch Box that that is what she is going to do, too.
I have a direct, personal interest in this matter: it is not one I need to declare under the code of conduct, but I have direct experience of operating in a campaign under the very regulations we are talking about today. In the summer of 2014, I was an activist and campaigner in the Scottish independence referendum. Because of my history and background in the entertainment industry, I was part of a group that was trying to co-ordinate that campaign among the arts and culture industry in Scotland. We wanted to organise a major, high-profile concert in the run-up to the event to demonstrate support and to provide a fillip for the campaign in the final days.
We went to the Yes Scotland campaign, the designated organisation, with the proposal. It said that it did not want to include it in its campaign plan and spend money on it. The advice was to go away and do it ourselves, so that is what we did. I registered my own events company with the Electoral Commission as a permitted participant in the organisation. We hired the Usher Hall, the grandest concert hall in Edinburgh, and we booked the bands. We arranged the production and the publicity, and we had a very successful event. Afterwards, we provided the Electoral Commission with a report and a detailed budget of what we had spent and the money we had received. At no stage did we either report to, or seek the involvement of, the official designated organisation.
I say that because that lived experience frames my opinion of the events we are talking about today, and my opinion is that this stinks to high heaven. In preparation for this debate, I looked at the original investigation and judgments of the Electoral Commission with regard to these complaints, and—I recommend hon. Members do this—at the High Court judgment on the application for judicial review of that decision. What it comes down to—what is absolutely central to this debate—is not whether different campaign organisations were arguing for Vote Leave, but whether they colluded to breach the expenditure limits that were set down. That is central.
Looking at the High Court judgment and other documents, it is clear that the most important thing is whether or not a common plan was in existence between Vote Leave and BeLeave, as defined under the 2000 Act. I have to say, in a situation where Vote Leave sets up a subsidiary organisation called BeLeave, uses its own personnel to establish it, manages to send it its lawyers and all sorts of support, and provides offices, computers and drives on the server for the same people, it is very difficult indeed to escape the conclusion that there was collusion and organisation between the two.
We are being asked to believe that Darren Grimes took a £600,000 contract and went to a data analytics firm in Canada, completely independently of people in Vote Leave, who had already spent £2.7 million with the very same company. It is literally unbelievable and we need to support the Electoral Commission and others in investigating this to the bottom.
We have this new evidence. The Electoral Commission, by the way, had already reopened the investigation before the whistleblowing information came out in the last seven days, but we are surely indebted to Shahmir Sanni for what he has done in the service of democracy in this country. I have watched his video recordings and it is clear that we do not share the same point of view. We did not share the same point of view on Brexit during the campaign, and we do not share it now, but I do not think that anyone who watches those interviews can fail to be moved by the decency, integrity and bravery of that young man in coming forward and putting himself at risk. We owe him a great debt.
The response of our Government to the whistleblowing allegations therefore worries me. Others have mentioned this, but the Prime Minister’s explanation yesterday that this was a personal statement by Stephen Parkinson just does not hold water. How can it be a personal statement when someone is at a desk in No. 10 Downing Street, at the heart of Government—when they are on the payroll, issuing a statement from No. 10 Downing Street? This must be the first occasion in history, certainly that I can remember, when the Government have decided to attack a whistleblower by outing them as gay, causing them the possibility of actual harm to themselves and their family, and it is a disgrace.
What happens when the Electoral Commission does its investigation and comes to its conclusion? Even if the collusion is proven and the regulations were breached, it will not change the result of the referendum; it will not be overturned. Some on the pro-Brexit side seem to believe that the referendum was mandatory on Parliament and the Government. It never was—it was an advisory referendum—so even were the result to be challenged, it would not call into question the many decisions on article 50 and leaving the EU that Parliament has already voted on. I do believe, however, that it would add further poison to the well of British democracy, coming on top of the most mendacious campaign in political history—that fought in 2016—when people were lied to about what it would mean to leave the EU.
Not only were these lies told—lies that were not worth the bus they were written on, frankly—but the regulations and laws governing the conduct of the referendum might have been broken. The Minister needs to reassure us that the Electoral Commission will have all the resources it requires to get to the bottom of this matter. That said, I think that there is already enough evidence—because I presume that the whistleblowers’ statements will be sworn under oath—for this matter to be referred to the Crown Prosecution Service and for a police investigation to take place. That investigation needs to interview under caution the players in this debate, including those who now sit in government holding the highest offices in the land.
That brings me to the Foreign Secretary, who has chosen not to be present. Others have commented on how quick off the mark he was to denounce the allegations and the new information. I am left wondering whether this was just his attempt to be the English Donald Trump or whether this is someone using one of the highest offices in the land to bring their power and authority to bear to intimidate those who would criticise him and make these allegations, and that is very worrying indeed. I want an assurance from the Government today that if the Electoral Commission finds that there has been collusion and breach, those Cabinet Ministers involved in the management of the Vote Leave campaign will resign from office and take no further part in government. It would be ridiculous and would undermine our credibility if the Foreign Secretary and others, having been involved in a breach of our electoral law, were then to seek to hold the highest office in the land.
Finally, my hon. Friend the Member for West Dunbartonshire (Martin Docherty-Hughes) raised a very important matter. As we uncover this, we will find more traces of dark money creeping into our electoral system, and we need the utmost transparency if we are to resist it. I therefore invite the Minister to comment on what action she and her colleagues will be taking with regard to the Constitutional Research Council and the money it siphoned to the Democratic Unionist party for the Brexit campaign. This is an organisation that has no website, no published report, no published accounts—it is the very definition of shady, and it is not something that we should accept in our democracy.
However we voted in the referendum and whatever our views now, the recent revelations in connection with the Brexit campaign raise serious questions about the functioning of our democracy and go to the heart of who we are as a country. First let me say, however, that we would not even be holding this debate were it not for the hard work, courage, diligence and honesty of journalists in the media.
Theirs is a profession that politicians rarely thank. The same applies to whistleblowers. However uncomfortable it may be for the powerful in our society, or for any of us, it is clearly essential to the functioning of a democracy that we protect the roles of both journalists and whistleblowers. It demeans our politics to attempt to destroy a whistleblower’s case not by addressing the matters that were being raised, but by insinuating that there was a malicious personal motive on the part of the whistleblower. It is especially sinister—indeed, it is shameful—when those insinuations emerge from Downing Street and when their source is defended by the Prime Minister personally. After all, the Government have a clear policy on whistleblowing. Their website states:
“As a whistleblower you’re protected by law—you shouldn’t be treated unfairly or lose your job because you ‘blow the whistle’.”
But Mr Sanni has been treated unfairly and in a way that is absolutely disgraceful.
Democracy depends on more than just journalists and whistleblowers. It needs transparency and a rules-based level playing field. If those attributes are missing, our democracy will be in severe danger and I believe that it may well be. The stakes have never been higher because the referendum itself was a major turning point in the country’s history. Moreover, the House will not forget that the Leave campaign was headed by two distinguished Members of this House, who arguably owe their membership of the British Cabinet to the role that they played in the Brexit campaign. To the victor belong the spoils, as they say.
It is too soon yet to draw any firm conclusions that Vote Leave broke the rules, but there are clearly reasons to worry. Before reciting some of the known facts, I remind the House that the law on referendums, which we passed, does not prevent donations from one campaign body to another, but it does forbid collusion between them, because otherwise there would not be a level playing field between the two sides in the referendum. If one campaign exceeds the spending cap by deliberately and surreptitiously spawning satellite or puppet operations, that crucial principle of equity between the two parties is lost.
Let me briefly list the facts that we do now know, some of which have already been mentioned. We know that Vote Leave raised more money than the statutory spending cap. We know that it donated surplus funds to other campaigning bodies, including a youth body called BeLeave. We know that the two campaigns shared the same building, and that there was a revolving door for staff between the two organisations. We know that they both used the same small Canada-based company, AIQ, whose purpose seems to have been to harvest data from social media in order to target Leave messaging to British voters. By a strange coincidence, the Leave.EU campaign—led by Messrs Farage and Banks, among others—used the very same small Canadian firm.
Incidentally, at least two other bodies, which have been mentioned briefly today, received donations from Vote Leave. One is Veterans for Britain and the other is the Democratic Unionist party, none of whose members are in the Chamber. Another remarkable coincidence is that both bodies reportedly used that same firm based in Canada, AIQ, whose premises are, I am told, above a shop.
So far, so good. Those are the facts as I understand them. Until last week, there was evidence that the various Leave campaigns rubbed shoulders with each other, but no evidence that there was specific collusion. This is where the recent revelations by the whistleblower that have given rise to this debate change the nature of our understanding of what happened. Mr Sanni was right at the core of the BeLeave organisation from its inception; indeed, I understand he was the treasurer, although he says he never saw the money pass through the accounts. He had previously worked in the Vote Leave organisation and says he was directed by it to join BeLeave. He goes on to say that BeLeave was established by Vote Leave and the money it donated was in effect under the control not of BeLeave but of senior members of the Vote Leave staff, and he argues that the money allegedly donated by Vote Leave to BeLeave was actually directed by Vote Leave, to be spent on AIQ. If these allegations of collusion are true, they amount to a serious breach of the regulations and a de facto fusion of the two campaign groups, and one has to assume that under those circumstances there was an illegal spend by Vote Leave-BeLeave of about 10% of the total statutory cap.
That was illegal, yet a further allegation has been made. It is said that after the referendum Vote Leave staff destroyed or doctored the electronic data files they held in order to remove any reference to an interconnection between the two campaigns. It is therefore hard to conclude anything other than that this was a puppet campaign designed to avoid electoral law. If there was nothing to hide, why would they destroy or change the files?
Given the historic scale of the referendum and what it has presaged for our country, we must have a proper and urgent investigation, but the truth is that the House is not the proper place to carry it out, and let us be blunt about the reason why: it is because the Government are in this up to their neck. Two Cabinet Ministers fronted the organisation. They sit here week after week, the Bonnie and Clyde of Brexit—I will leave it to the House to decide who is Bonnie and who is Clyde. They had a pantomime swag bag allegedly full of £350 million a week for the NHS, which, as we know, turned out to be completely untrue. Meanwhile, the sheriff herself, in the shape of the Prime Minister, has publicly defended her own political secretary after his personalised attack on the whistleblower. They cannot represent themselves as honest brokers, so who will step up to carry out the investigation into these new revelations?
It must be the Electoral Commission and, if necessary, the police. At present, however, the Electoral Commission is under-resourced and lacks the necessary powers to carry out the task. After all, the situation last week with the Information Commissioner revealed how limited its powers and resources are in trying to get access to Cambridge Analytica files.
We on this side of the House demand that the Government recuse themselves from looking into these matters and commission a wholly independent investigation instead. The Electoral Commission should be given the extra powers and resources it needs to follow the evidence wherever it takes it. It should then report to this House and to the public directly, so that there is no suspicion of interference by interested parties in powerful places.
Sunlight is the best disinfectant. We have seen the Prime Minister beholden to the extreme wing of her party, who are running wild and unchecked. If she wants to stand up for our democracy and show she has nothing to hide, she will surely now work with any investigation as a matter of urgency.
There are two things that I ought to begin by saying. The first is that, as a Minister, I shall respect the integrity of independent investigations. I shall therefore not comment here today on allegations that rightly belong with the Information Commissioner’s Office or the Electoral Commission for investigation. I hope that right hon. and hon. Members will join me in respecting that rather important legal principle, which I set out here at the beginning of my remarks to give the House clarity. Secondly, as the Minister responsible for the electoral system, I am proud to say that the UK has a clear and robust electoral system, and we should all be proud of the democracy in which we live and work. I would like to place on record my thanks to all those involved in the electoral community who work hard at every poll to deliver it within the law, such that we can be proud of our democracy.
I turn now to the EU referendum. The Electoral Commission concluded that it was a well-run poll and that it was delivered without any major issues. We also know that it was one of the largest democratic exercises in our history. I recognise that that referendum and its subject matter still elicit high emotions on both sides. Indeed, we have seen that here today. However, with 17.4 million votes to leave the European Union, more people voted for Brexit than have ever voted for anything else in the UK. We therefore have to respect the will of the people in that referendum and we are delivering it. This Government are committed to ensuring the best possible outcome for the British people in the negotiations to leave the EU.
Turning to the matter at hand under the application, I should like to thank hon. Members for their comments during the debate. Various allegations have come out in the media over the past week, and it is important to be clear about what they involve and about which ones are directly linked to the UK’s electoral law and which ones might not be. First, there was a series of allegations about Cambridge Analytica using Facebook data to profile American voters. That is primarily a data protection issue. It is a serious allegation and the Information Commissioner is undertaking a formal investigation using its powers. The Government are strengthening the remit of the Information Commissioner through our Data Protection Bill, giving it tougher powers to ensure that organisations comply with its investigations, including the ability to impose significant fines. We will consider the Information Commissioner’s proposal for further powers as the Bill passes through Parliament.
Secondly, there have been allegations about whether some of the spending ahead of the EU referendum was properly declared. Some of those matters have already been subject to Electoral Commission investigations, and others might well be so in due course. I return to the point I made earlier that I shall not comment on investigations that are being carried out. In this country, the Electoral Commission is the independent body that oversees the conduct of elections and referendums and regulates political finance. The commission reports regularly on the running of elections and referendums, and conducts thorough investigations into allegations that rules have been breached.
The Electoral Commission is independent of the Government. It is accountable to Parliament via the Speaker’s Committee on the Electoral Commission. One important point that has come up today is the suggestion that the Electoral Commission is under-resourced. I encourage hon. Members to look at the commission’s operating costs for this year, which show an underspend against its anticipated budget. Indeed, in January this year, it returned funds. Now, I leave it to others to draw conclusions from that about whether the Electoral Commission is resourced correctly, but I say again that the commission is accountable to Parliament and that such questions could rightly be in looked into by Parliament and your committee, Mr Speaker.
To safeguard elections, it is vital to have an independent regulator. The Electoral Commission needs to be able to act independently, without Government interference. I am a little disappointed by the loose thinking of the hon. Member for Hemsworth (Jon Trickett), because I think his argument was that the Government ought to have been able to investigate such things, but then he said that that was not correct. He then said that the Electoral Commission can do that as a fall-back. Let me be absolutely clear that it is a good thing this country has that independent regulator, and we cannot have it both ways. The independent regulator should do its independent job. I have heard too many arguments in the Chamber this afternoon that suggest that this House ought to pre-empt the commission, but we should not do so and, as I said at the outset, I will not do so.
Allegations have been made about campaigners during the EU referendum, and the specific allegations about spending rules and the accuracy of campaigners’ spending returns fall squarely within the remit of the Electoral Commission. The commission has announced investigations into various campaigners in that referendum and has already investigated a number of complaints and found no wrongdoing. It will publish its findings in due course. As the right hon. Member for Carshalton and Wallington, who requested this debate—I thank him for doing so—acknowledged yesterday, there may be sub judice issues here, so I repeat that it would not be appropriate for me or the Government to comment on any ongoing investigations.
Allegations that the electoral rules may have been breached are rightly a cause for concern, but that does not mean that the rules themselves were flawed. It is not right to reach any conclusions on such issues until the Electoral Commission’s investigations are complete. It would not be right to jump to conclusions or to attempt to amend the system before any allegations have been proven.
In conclusion, the Government will continue to work closely with the Electoral Commission, along with many other stakeholders in the electoral system, to protect the integrity, security and effectiveness of referendums and elections. Let me make it clear for the record that we will continue to implement the referendum’s result and to make a success of it.
The Minister said that she would not be drawn on the allegations that have been referred to the Electoral Commission and the police, although she did go on to say that we have a clear and robust electoral system. I must gently chide her, because she might want to wait for the outcome of the investigations to see whether our electoral system is in fact clear and robust.
The Minister also would not comment on the actions of the Prime Minister’s political officer. As a number of Members have said, that is not a matter that is sub judice. I think that it is a matter of morals, as the actions that were taken have exposed someone to risk. The Minister did not want to respond to that, so perhaps her view is that it is something the Prime Minister should look into very carefully, and consider carefully the position of that member of staff.
We have heard many challenging contributions from the Opposition Benches and silence from the Government Benches, apart from the Minister’s speech and a few interventions. I asked her a few specific questions at the end, which she did not answer, so I hope that she will be able to do so in writing, specifically on whether any legal reforms are needed.
In conclusion, I do not think that anyone on the Opposition Benches today will leave reassured that the law was not broken and that the people were not cheated, but we will have to wait for the outcome of the inquiry to see whether these allegations are true or false.
Question put and agreed to.
Resolved,
That this House has considered the EU referendum and alleged breaches of electoral law.
Financial Guidance and Claims Bill [Lords]
Bill to be considered tomorrow.
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