Labour’s Deputy Leader Angela Rayner has accused the Government
of ‘muzzling its own watchdog’ after Ministers refused to
sanction a former Tory Chancellor who was found to have broken
rules by lobbying Treasury officials on behalf of a bank.
The long running scandal involving Lord Hammond, the
ex-Chancellor who took a directorship of OakNorth bank alongside
a seat in the Lords, led the Advisory Committee On Business
Appointments, which enforces rules meant to prevent former
Ministers using their knowledge and contacts for commercial gain
after leaving office, to issue an unusually strong rebuke.
The Committee is chaired by former Tory Cabinet Minister , also a sitting Conservative
peer. After issuing the finding against Hammond, Pickles wrote to
, then the Minister
responsible, in August of this year, suggesting that he should
take action over the rule breach given ACOBA’s lack of powers to
do so itself.
In the letter, Pickles said that the Committee had concluded
“there is a reasonable concern that direct engagement with the
Second Permanent Secretary at HMT was only made available to
OakNorth as a direct result of his time as Chancellor. I do not
consider it was in keeping with the letter or the spirit of the
government’s Rules for the former Chancellor to contact HMT on
behalf of a bank which pays for its advice.”
The Government did not respond to the letter until Rayner tabled
a Parliamentary Question earlier this week. The Government’s
reply arrived on the day the Question was due for a ministerial
answer, in which Paymaster General told Rayner that “although we
concur with the Committee’s conclusion, we do not believe further
sanctions should be taken”.
In the accompanying letter to ACOBA, the Cabinet Office Minister
, another Conservative peer,
acknowledged that the actions of Hammond “were not in keeping
with the Business Appointment Rules” which he said “play an
essential part in protecting the integrity of government” but
refused to take any further steps.
,
Labour’s Deputy Leader and Shadow Chancellor of the Duchy
of Lancaster, said:
“By letting Hammond off the hook, the Government has muzzled its
own watchdog. Even when their own hand-picked anti-corruption
tsar, a former Tory Cabinet Minister, asks them to take action
over a flagrant breach of the rules they have outright refused.
“This is just the latest evidence that will not tackle the
corruption that has engulfed his Government and the Conservative
Party. Instead of enforcing the rules he breaks the rules
himself, tries to change the rules and defends senior
Conservatives who break the rules.
“The system is completely broken and this Government will not
close the revolving door between public office and cushy lobbying
gigs.”
Ends
Notes to editors:
-
Parliamentary Question and Ministerial Answer to Angela
Rayner: - Parliament.uk
-
Previous correspondence between ACOBA, Lord Hammond and the
Cabinet Office -GOV.UK
-
letter to : - GOV.UK
-
reply to : - GOV.UK
