Electoral Administration Bill

I start with a brief general comment. The disclosures in recent weeks that very substantial loans made to political parties had not been disclosed because they were or were claimed to be loans made at commercial rates of interest have caused immense damage to public confidence in our political system and particular damage to your Lordships’ House by giving the impression that access to membership of this House can be bought. That causes me great concern because your Lordships’ House is a very important working part of our parliamentary system. Therefore, I am pleased that the Government, and in particular the noble and learned Lord the Lord Chancellor, have come up with measures that to us seem adequate to deal with the problem. I shall raise one small point in the next group of amendments but, apart from that, we believe that the drafting is adequate. I shall deal briefly with the amendments in this group. Subject to any problems arising out of European Union legislation, we could not support any proposal that loans made by foreign banks should not be regulated transactions. That is because loans made by foreign banks that conduct no business in the United Kingdom are much less transparent. It is far more difficult to discover whether money has come from the bank’s own available lending pool or whether it has been provided by a supporter of a particular party. However, I understand that it is not the intention of the noble Lord, Lord Kingsland, that such an amendment should be made. Given that, I do not need to say anything further on the point.