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The C Onflict of Interest Issue and the B Ritish House of Commons

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The C Onflict of Interest Issue and the B Ritish House of Commons The Conflict of Interest Issue and the B ritish House of Commons: A Practical Problem and a Conceptual Conundrum by Sandra Ann Williams Thesis submitted fo r the Degree of Doctor of Philosophy Bedford College, University of London ProQuest Number: 10098551 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a complete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. uest. ProQuest 10098551 Published by ProQuest LLC(2016). Copyright of the Dissertation is held by the Author. All rights reserved. This work is protected against unauthorized copying under Title 17, United States Code. Microform Edition © ProQuest LLC. ProQuest LLC 789 East Eisenhower Parkway P.O. Box 1346 Ann Arbor, Ml 48106-1346 ABSTRACT In 1974 the House of Commons agreed by Resolution to take the un­ precedented step of introducing a Register of Members' Interests. It also converted the convention that a Member should declare any personal pecuniary interest relevant to any debate or proceeding into a rule of the House. These measures were designed to avoid actual or apparent conflict between a Member's private interests and his public duties as an MR. The experience of the House in dealing with c o n flic t of inte rest, and the problems of defining, identifying and regulating this phenom­ enon, have, hitherto, been discussed only peripherally in academic l i t e r ­ ature on Parliament. This study f i l l s a lacuna in parliamentary research by systematically examining these issues and exploring some of the con­ ceptual ambiguities involved. I t f ir s t documents and discusses the way the House tra d itio n a lly approached the problem prior to the 1974 Reso­ lutions, and then considers whether recent developments in the regula­ tion of Members' interests indicate a genuine departure from that approach. In so doing i t provides a case-study of an important episode in recent parliamentary history. It establishes that the House's approach towards conflict of inter­ est derives as much from historical residues of 'elite political culture' as i t does from contemporary pressures. I t finds that the House has, in the absence of strong outside stimuli, been reluctant to take the in itia ­ tive to regulate Members' interests, having preferred to rely on the honour of individual Members, and shows that recent changes are less fund­ amental than the apparent innovation of introducing the Register might suggest. It considers alternative methods of regulating Members' inter­ ests, and asks whether, in dealing with conflict of interest, the House should surrender its sole rig h t, enshrined in parliamentary privilege, to regulate and to adjudicate upon the conduct of its own Members in their parliamentary capacity. TABLE OF CONTENTS Page No. LIST OF TABLES 6 LIST OF FIGURES 7 ACKNOWLEDGEMENTS INTRODUCTION PART 1: RESEARCH DESIGN Chapter 1 STUDYING CONFLICT OF INTEREST IN THE HOUSE OF COMMONS 13 - What is conflict of interest? 13 - An uncharted issue in parliamentary literature? 17 - Theoretical framework 23 Chapter 2 METHODS AND SOURCES 37 - Sources and methods of data collection 39 - Data analysis 45 PART 2: DISCLOSURE OF INTERESTS: THE ECLIPSE OF THE GENTLEMAN MP? Chapter 3 HISTORICAL BACKGROUND: THE TRADITION OF THE 'HONOUR- ABLE' MEMBER 49 - A tradition of outside financial interests 49 - Rules on the private financial interests of Members 55 - Procedures of investigation and punishment 69 - Patterns and characteristics 72 Chapter 4 THE 1969 SELECT COMMITTEE: 'A FALSE 76 - Part 1: The Background to the Committee Parliamentary pressure 76 Extra-parliamentary pressure 83 The Bagier a ffa ir 85 Motion to,set up the 1969 Select Committee 88 - Part 2: The 1969 Select Committee and its Report The internal dynamics of the Select Committee 93 The 1969 Select Committee Report 95 Reaction to the 1969 Select Committee 105 Report Page No Chapter 5 THE 1974 RESOLUTIONS: A NEW ERA IN SELF-DISCIPLINE? 107 - A change of Government and a reassertion of tra dition 107 - The Poulson a ffa ir 112 - Parliamentary response to the Poulson revelations IIS - A change of Government - and a change of direction? 120 - The 1974 Debate on Members' Interests: a sort 125 of gentlemen versus players match' Chapter 6 THE REGISTER: TO BE A GENTLEMAN IS NOT ENOUGH 135 - The Report of the 1974 Select Committee 136 - Reaction to the 1974 Select Committee Report 141 - Debate on implementing the 1974 Resolutions 143 - Compilation and Publication of the Register 150 - Later editions of the Register: The Enoch Powell 158 case - The Register in operation: 1975-1979 166 PART 3: CONCLUSIONS AND BROADER OBSERVATIONS Chapter 7 MEMBERS OF PARLIAMENT AND CONFLICT OF INTEREST 171 - The 'modern campaign' fo r a register of interests 171 - Implementation and operation of the Register 178 - The Register: Innovation or extension of tradition? 182 - Problems of self-discipline 187 - Review of theoretical propositions 193 - Alternative methods of regulating Members' interests 196 Chapter 8 CONFLICT OF INTEREST: PROBLEMS AND AMBIGUITIES 200 - Conflict of interest shades off into representation 200 of interests - Conflict of interest shades off into corruption 212 - How much influence does an MP have? 217 - Comment 220 NOTES AND REFERENCES 221 Page No APPENDICES 1. Random Sample Survey - A Statement on Technique 263 2. Random Sample Survey - Frequency Table of ResponseData 278 3. Profile of Key Informants 299 4. Division List Analysis 301 5. Information from the Register of Members' Interests 310 SELECT BIBLIOGRAPHY 322 ABBREVIATIONS 331 LIST OF TABLES Page No, 1. MPs' views on what constitutes Corruption ^ 2. MPs' views on how far Conflict of Interest overlaps with 315 Corruption 3. Response Rate for Random Sample Interviews 375 4. Overall Response Rate by Party 5. Analysis of Non-Response 377 6. MPs' views on whether they should have less Privacy in the 397 area of Financial Interests and Activities than outside Citizens 7. Of those MPs who voted no or abstained: Preference fo r ^97 Voluntary Register or pre-1974 Practices cross-tabulated with views on Privacy 8. MPs' views on Full-time Membership of the House of Commons 9. Members' involvement in outside paid/unpaid Employment 10. Voting by Party on the Amendment to the Government's Motion, ^02 Members' Interests (Declaration) (No.1) 11. Voting within the Conservative Party on the Amendment to the 303 Government's Motion, Members' Interests (Declaration) (No.1) 12. Voting by Party on the Government's Motion, Members' Interests 305 (Declaration) (No.2), to establish a Compulsory Register of Members' Interests 13. Voting within the Conservative Party on the Government's 306 Motion, Members' Interests (Declaration) (No.2), to establish a Compulsory Register of Members' Interests 14. Voting by Party on the Government's Motion, Members' Interests 308 (Declaration) (N o.i), to agree with the Recommendations made in the Report of the Select Committee on Members' Interests (Declaration) 15. Voting by Party on the Amendment proposed by Mr J. Golding 309 (Lab) to the Motion, Members' Interests (Declaration) (No.2) 16. Composition of the House of Commons as on 1st November 1975 313 and as on 13th February 1979 17. Registration as on 1st November 1975 and 13th February 1979 314 18. Number of MPs by Party registering 'n il' - 1975 and 1979 315 19. Classified entries in the Register as on 1st November 1975 316 and 13th February 1979 20. Classified entries in the Register by Party - as on 317 1st November 1975 and 13th February 1979 LIST OF FIGURES ^^9^. 1. Interview Schedule 268 2. Letter of Introduction to MPs 274 3. Letter and Registration Form sent to MPs by the Registrar 311 of Members' Interests 4. List of Members entering 'nil' in the First Edition of the 319 Register ACKNOWLEDGMENTS In the course of preparing this study I received help from a very large number of people, including politicians. House of Commons Clerks, c iv il servants, officers of associations and so on. Although th e ir assistance was of immeasurable value, i t is impossible to acknowledge them a ll individually. Indeed, some wished to remain anonymous. However, I would like to give my special thanks to Mr D.A.M. Pring (former Registrar of Members' Interests), Mr R.S. Lankaster (current Registrar of Members' Interests), Mr Kenneth Bradshaw (Clerk Assistant, House of Commons) and the Rt. Hon. J. Enoch Powell, MP, who not only gave me the benefit of th e ir time and assistance during the collection of data fo r the project, but also found the time to read through early draft chapters of this study. This acknowledgment is , however, dis­ associated from any interpretations or conclusions reached in the text. Responsibility fo r anything included or omitted in the study is en tirely mine. S.A.W. Jan 1982 INTRODUCTION Why was the issue of conflict of interest in the House of Commons chosen as the subject for this study? In 1974 the House of Commons agreed to two Resolutions concerning registration and declaration of Members' outside financial interests. The firs t, passed in the face of considerable misgivings from traditionalist MPs, introduced a Register of such interests. The second converted what had previously been a convention of the House into a rule, that a Member should declare any personal pecuniary interest relevant to any debate or proceeding. The significance of the Register was recognised in the preface to the nine­ teenth edition of Erskine May's Parliamentary Practice, Parliament's procedural Bible, which noted its 'novelty and importance' and appended a description.
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