Labour considers forcing ministers to declare gifts to Starmer

Scrutiny of Sir Keir Starmer’s decision to accept more than £100,000 in gifts before becoming prime minister has dominated headlines this week.

And while it has been an unwelcome distraction for the government as it seeks to push forward its agenda to restart Britain, the prime minister’s leader in the House of Commons, Lucy Powell, says there is a greater need for transparency, not less.

Powell, who herself accepted £40,000 in gifts while in opposition, claims the majority of her statements on the MPs’ register related to events she attended as shadow culture secretary.

She explains that Conservative ministers who attended the same events did not have to declare their gifts in the same way – due to a rule change introduced under David Cameron’s government in 2015.

In a wide-ranging interview with IAhead of the Labour Party conference which begins on Sunday, Powell also sheds light on adjusting to life in government, talks about tougher rules on MPs’ second jobs and defends the government’s decision to cut winter fuel subsidies for all but the poorest pensioners.

“To be clear, the vast majority of statements I made were made when I was shadow culture secretary and when I was attending events in an official capacity,” Powell said.

“So I was attending these events in an official capacity, but ministers who were attending these same events were not required to declare these gifts in the same way, with a monetary value applied to them.

“The Conservatives have changed these rules so that ministers do not have to declare their attendance at events in this way when they are related to their ministerial duties.

“But when it concerns your capacity as a shadow ministry, you must declare it.”

If a minister attends an event as part of their official duties, they are not required to declare it in their register of members’ interests. However, the gift or hospitality is usually published in their department’s transparency data.

It was in 2015, under Mr Cameron’s government, that parliamentary rules on gifts were changed to give ministers an exemption on anything they receive “in the course of their ministerial duties”.

Will Labour consider reversing this decision? After all, Powell is keen to emphasise Labour’s commitment to transparency throughout his interview.

She hasn’t commented on that, largely because it’s not a responsibility that falls under her portfolio, but she says it may be something the new government will look at.

“It’s not something that can be done directly and instantly, but it’s something that we will have to consider as a whole,” she says.

“I think transparency is really important.”

Rules for MPs and ministers regarding the declaration of gifts

The gifts and hospitality given to Keir Starmer were provided while he was in opposition and were therefore declared on his register of interests as an MP.

MPs must declare any gifts, benefits or hospitality worth more than £300, or if the total value of gifts received in a year exceeds £300. This includes shadow ministers.

They must also register any donation over £500 from a donor who is not registered in the UK.

The rules are different, however, for the Prime Minister and other members of his government.

The Ministerial Code states: “It is well established and recognised that no Minister should accept gifts, hospitality or services from any person which would place him, or might appear to place him, under any obligation. The same principle applies if gifts, etc. are offered to a member of his family.”

If they attend an event as part of their official duties as a minister, they are not required to declare it in their register of parliamentary interests. However, the gift or hospitality is published in their ministry’s transparency data.

Ministers are also required to declare all external meetings they have with relevant individuals, such as senior journalists, business groups and campaigners, as well as any foreign visits they undertake.

Gifts given to ministers in the exercise of their government duties may be accepted if they are of a value less than £140.

Any gift over this value must be returned to their department or disposed of, but they may choose to purchase it from the department if they wish to keep it.

Powell will deliver her first speech as secretary of state on Sunday, and she says I The last two months have been “intense.”

She has two offices to cope with her increased workload: one in the House of Commons and one in the Cabinet Office.

“I have a nice office in the House of Commons, behind the Speaker’s chair, and I have another one in the Cabinet Office, because a lot of my work is done there,” Powell says.

“It’s a very important time for me to come into office, and there’s a lot going on. I’ve put forward all sorts of motions, I’ve been very involved in the King’s Speech and in putting together the first legislative programme for the Labour Party in 14 years. It’s been very intense. Great fun, but intense.

“I don’t think any of us have come out to breathe yet.”

While she has two offices, one thing Powell doesn’t like is MPs having two jobs. She has set up the Modernisation Committee, which will examine what benefits, if any, paid outside engagements such as media appearances, journalism and MPs’ speeches offer the public, compared with the potential conflicts of interest that may arise.

This could lead to a ban on MPs accepting paid contracts for broadcasting work.

Labour has already endorsed a crackdown on second jobs, with tougher rules banning MPs from providing paid advice on policy or the running of parliament.

Last week, Powell’s latest move to review paid media jobs for MPs drew the ire of Reform UK leader Nigel Farage, who has a lucrative role hosting a nightly show on GB News on top of his £91,346 MP salary.

Farage accused Powell of limiting free speech by suggesting that an MP’s primary role should be to serve their constituents. He said any move to remove him from his role as presenter was “Starmer Stasi-style censorship”.

Powell does not give much time to Farage’s protests.

“Certainly his statements that I am personally trying to put an end to freedom of expression are completely unfounded. He will always be free to appear on any news channel whenever he wishes.

“That is not what we are talking about here. We are talking about permanent employment contracts that bind you and therefore could create a real perception of conflict of interest when it comes to what should be your main job and your first job, that of an MP who acts first and foremost in the interests of your constituents.

“No one is saying that he or any other MP cannot express his views on television. That is simply not the case.”

In Powell’s speech to the party faithful in Liverpool on Sunday, she will say more about her efforts to clear up ambiguities around second jobs, and tell her audience that she and her colleagues are “continuing to deliver on the manifesto” on which they were elected.

“Our aim is to restore trust in politics, to meet the highest standards, to address some of the cultural and behavioural challenges in Parliament and to make Parliament more effective and closer to citizens,” she said.

However, as healthy as this may sound, it is unlikely to make headlines in the way that the levying of winter fuel payments on hundreds of thousands of pensioners has done.

Powell says the move is essential after the discovery of the “£22 billion black hole” left by the previous administration. However, she also encourages anyone who is entitled to Pension Credit to apply, which would allow them to continue to receive up to £300 help with their heating bills this winter.

“We didn’t know what we were getting into and, obviously, what we found in the Treasury and across government was a big black hole.

“Many major spending commitments were made or were to be made without any budget for them.

“We had to take measures to deal with it. Otherwise, the consequences are even more serious with an economy and public finances that are not in good shape.

“We have done a lot to ensure that people can benefit from retirement credit and it is not too late to do so.

“I think it’s really difficult when you’re being tested for meanness because it obviously creates a line, and wherever that line is drawn, it’s difficult for those who are just above it.

“We understand that completely, and that’s why we’re running a massive communications campaign, working with charities and others, to make sure people can get a pension credit.

“That’s also why we’re fully committed to the triple lock, because I think it’s really important that people recognise that the value of the state pension, in real terms, is worth a lot more now and will be worth a lot more in the years to come than it has been.

“The basic state pension is worth £900 more this year and £460 more next year.”

Under the triple bottom line, the state pension increases each April by inflation, earnings growth or 2.5%. But some argue that despite Labor’s commitment to the triple bottom line, these increases will not make all pensioners feel better off.

Former pensions minister Sir Steve Webb has warned that the next rise in state pensions will not represent a real increase in living standards because some of the increase will simply be used to keep pace with rising prices.

Powell added: “It is likely that income levels will rise above inflation for some years to come, so one would hope that retirees will feel, over the course of this term, that they are better off overall.”

One thing Powell and all his fellow ministers have understood is that once the word “shadow” is removed from your title and the decisions you make actually affect people’s lives, then the level of scrutiny you are subject to reaches new heights.

Powell hopes being among his friends in Liverpool over the next week will allow him to catch his breath after two months in the hot seat.