My Lords, it is a pleasure to follow the noble Baroness, Lady Hayman of Ullock, and the noble Lord, Lord Wallace. They have already very clearly outlined Amendment 63, to which I attached my name, so in the interests of time, I will comment just on Amendments 66 and 68 in my name. These are advances, derivations or different approaches that arose from the debate we had on these issues in Committee. As the noble Lord, Lord Wallace, just said, I would not necessarily suggest that these are the complete answer—although Amendment 68 certainly takes us in the direction that he referred to of reviewing our current situation—but they are an attempt to raise the issues and continue the debate from Committee.
I begin by noting—I owe this to the Forbes website—that a superyacht costs on average about $275 million. I cannot personally attest to that, but we can take it as a ballpark figure to start with; of course, there are probably quite a few going second hand at the moment, which might make them a bit cheaper. This is a demonstration of the fact that, in our current economic system, with the corruption and extractivism, we have people in the world who have access to massive sums of money. Amendment 63 and most of the debate around this have focused very much on foreign influence. Indeed, the noble Lord, Lord Wallace, talked about bringing influence over our democratic politics. But what my Amendments 66 and 68 do is ask: why should any individual, wherever they reside, have that kind of influence over our democratic politics?
If we look at what a typical political party—one of the two largest parties, or perhaps particularly the party that draws the most funds, as the noble Lord, Lord Wallace, said—spends on a general election, it is about 10% of the cost of a superyacht. It is not quite small change down the back of the sofa for the oligarchs, but it is not a really large amount of money. I asked in Committee what would happen if one of our existing political parties or a new political party drew all its funding from one source—one highly questionable source or any source at all. For example, we have just had the French election, and the far-right candidate, Marine Le Pen, who got more than 40% of the vote, got a very large loan from a Hungarian bank linked to President Putin. If noble Lords want to see how this plays out in Australian politics, they might like to look at the role of Clive Palmer in the election going on now, since I raised that issue in Committee.
This amendment developed from the Committee work. Of course, we do not have exact parallels to the two examples I have just cited in the UK, although I note, looking back over the past decade or so, that in the run-up to the 2010 election, Lord Ashcroft donated about 20% of the money that the Conservative Party spent in preparing for and running that election campaign. In 2021, the Conservative mayoral candidate, Shaun Bailey, received about 40% of his funding from the same source. I am not in any way casting aspersions on those cases; I am merely asking what happens to our politics when one person is hugely influential and a party is dependent on that one person.
Amendment 66 is an attempt to say that there should be a limit on how much one person can influence a political party. I came up with the figure of 5%, which I think is a reasonable estimate. This was debated at some length with the noble Earl, Lord Howe, who is not in his place today. He said that he would go away and think about whether one person should be able to donate 100% of the cost of an election campaign for a party or major character. I give notice to the Minister that I raise that question again. The noble Earl said he would go away and reflect on what the maximum percentage should be; maybe the Government do not think my 5% figure is right, but do they really believe that 100% of the funding for a political party’s campaign for a general election should be able to come from one source? Maybe they think it should be 50% or 25%. I give the Minister fair warning that if I do not get an answer to that, I will be bouncing back up again. I am sure that, if they engage with Amendment 66, the Government are likely to say that this might be drafted differently. I have attempted to address some of the main issues. I will not push this to a vote. I do not believe that I have necessarily found all the answers here, but there is a really important question that needs to be asked about whether we should limit anyone’s, not just foreign residents’, percentage of influence over our parties.
Some will say that we have rules about declaring donations and, providing they are followed—your Lordships’ House did its best earlier to keep an independent Electoral Commission overseeing that—voters can use that information to influence their choice. However, even if it is all open and transparent, voters have many reasons to make the choices that they do. Elections do need to be funded, which is why
I have put down Amendment 68, which would require a 12-month consultation on public funding of political parties. This very much draws on the amendment the noble Lord, Lord Sikka, tabled in Committee and on which, unfortunately, due to the hour, we did not have time to have a full debate. None the less, the noble Lord put forward—as he has again in an amended form here—a proposal for how to do this and get state funding of political parties. We could have lots of debates about the nature of that and the way it should be done, so rather than do that, I have put down this amendment for a review.
I will stop there, but I remind the Minister that I will be asking him if he thinks that 100% of the funding for a campaign should be able to come from one source.