University of Stirling William Dinan Department of Film and Media

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University of Stirling William Dinan Department of Film and Media University of Stirling William Dinan Department of Film and Media Studies Lobbying and Devolution: Policy and Political Com~unication in Scotland, 1997 - 2003 Submitted for the Degree of Doctor of Philosophy August 2005 Abstract This thesis examines the growth of commercial lobbying in Scotland with the devolution of political power to Edinburgh in 1999. The study analyses the nascent public affairs community in Edinburgh in the lead up to, and during, the first session of the Scottish Parliament. This period covers the public debate at Holyrood over the registration and regulation of outside interests, and examines both the public and private political communication of those actors involved. The evidence base for this thesis is drawn from archival and documentary research, extended observational fieldwork in Edinburgh, and in depth interviews with informants from lobbying consultancies, corporations, voluntary sector organisations, elected representatives and public servants. A key focus of this study is the role of commercial and corporate lobbyists in Scottish public affairs and the Scottish public sphere. The analysis concludes that the Scottish Parliament's founding principles of openness, equality and accountability could be served through the regulation of lobbying. Acknowledgements This thesis could not have been completed without the help, support and encouragement of a number of people. Thanks are due to my supervisor Philip Schlesinger, for his advice, patience and encouragement throughout my time at Stirling. This work has benefited from his intellectual insights and academic rigour, and I am very grateful for his contribution. My formal thanks are also due to David Miller, my second supervisor, colleague and friend, for his unfailing support, advice and interest in this project. David's scholarship and passion have been very influential in shaping my work and this thesis has been greatly improved by his input. As ever family and friends have suffered through the process of research and writing. Thanks to my mother, Angela, and sister, Kathleen, for all their support throughout my studies. My heartfelt thanks and appreciation to Carol for her good humour and tolerance throughout this project, and apologies to Ciara and Niamh for being a somewhat distracted Dad in the final stages of writing up and submitting this work. I'm truly grateful to each of them for continually reminding me that there is much more to life than my academic obsessions. Table of Contents 1. Introduction 1 Lobbying and Political Communication: studying sources 3 Scholarship, engagement and the research process 6 2. Lobbying in Context 13 Registering interests in British public life: the story so far 16 From Nolan to Neill 17 The Politics of Sleaze 20 Reinforcing Standards 22 Scottish Lobbying: evolution before devolution 25 Distant Relations: Devolution and Corporate Scotland 28 Interest Representation in the Scottish Public Sphere 31 The British Lobbying System: Westminster and Whitehall 35 3. Devolution, Governance and Lobbying in the Scottish public sphere 39 The Public Sphere, Political Communication and Lobbying 43 Promotional Culture, Spin and Systematically Distorted Communication 48 Political Communication, Media Studies and Source Strategies 51 Governance and Lobbying 59 Networking, Pluralism and Lobbying 64 Lobbying and Strategic Action / Communication 70 Lobbying as Transnational Practice 73 4. Going out, Hanging around and Speaking up: studying the new Scottish politics 78 The politics of researching politics 86 Ethics of Research and Role 89 The Conditions of Access 90 Openness and Accountability versus Privacy and Pretext 97 Mucking In or Muckraking? 101 Coming in from the cold: from observation to participation 103 Conclusion: doubt and duress in village politics 113 5. Preparing for Holyrood 120 The growth of Lobbying in Scotland 120 Lobbying and the Consultative Steering Group 128 Jockeying for Position: the lobbyists trade associations 134 The APPC in Scotland 136 Access, Passes and Codes - the foundations of open democracy in Scotland? 137 'There is nothing more permanent than the temporary' 147 Becoming a public affair: the launch of ASP A 160 6. Lobbygate 164 Lobbygate: making connections 165 Spinning Lobbygate 171 Lobbygate: the dust settles? 185 7. The Lie of the land: regulating lobbying in Scotland 192 The changing landscape of lobbying 192 Representing Interests (I): ASP A and the APPC in Scotland 193 Representing Interests (II): The Scottish Voluntary Sector 200 Regulating Interests and interesting regulations 207 A public inquiry? Consulting on Lobbying at Holyrood 213 Securing openness in the new politics 223 Conclusion 225 8. Scottish Devolution and Corporate Lobbying 228 Background 229 Consultation Culture: getting down to business 232 Pathfinders to the Parliament 235 Sectoral Lobbying and Pathfinders 237 Access, Influence and relationships: the goals of corporate lobbying 241 BP in Scotland 251 Neighbourhood Watch: BP in Grangemouth 256 Blue Skies and Green Futures: thinking corporate strategy 261 BT Scotland 267 Conclusion: Big Business lobbies, so what? 283 9. Educating the Political Class? The Scottish Parliament and Business Exchange 288 Trusting Industry and Parliament 290 Building Business Confidence: the foundations of the SPBE 293 Getting down with business 302 Fair Exchange: Openness and Confidentiality at the SPBE 307 Exchanging Standards: lines of Accountability and the SPBE 313 Changing the Exchange? 320 The Way Forward? 323 10. Conclusions 331 Studying Up: A blind-spot of the social scientific gaze? 331 Framing Lobbyists: connecting the theory and praxis of lobbying 337 Corporate and Commercial Lobbying at Holyrood: the lessons to date 342 References 349 Appendix 1: Scot the Difference? 386 Appendix 2: Interviews, conferences and meetings 389 Chapter 1 Introduction This study examines the development and embedding of lobbying at Holyrood, the new Scottish Parliament created after the devolution referendum in September 1997. The timeframe of this study, from 1998 to 2003, represents a unique political and sociological moment in the Scottish polity, when the rules and principles that would guide and defme devolved politics were debated and deliberated upon. This research also follows how these principles were implemented, institutionalised - and in some cases violated - during the first session of the Parliament. The Parliament is founded upon radical-democratic principles, which were adopted and promoted by a campaign across Scottish civil society (though business and corporate actors were noticeably absent) under the Scottish Constitutional Convention. This movement campaigned for devolution, and sought to establish a new form of participative politics that would bring government and governance closer to the electorate. In November 1997, after the devolution referendum, an all-party body called the Consultative Steering Group (CSG), was charged with finding practical ways of realising the aspirations of the Constitutional Convention in the routine workings of the new Parliament. The CSG was created by the Secretary of State for Scotland and consulted widely across Scottish society on the philosophy and principles that would underpin and sustain this new institution. The CSG's work, published in Shaping Scotland's Parliament 1 (CSG 1998), resulted in the establishment of four very important principles, which can be understood as a quasi-constitutional template for Holyrood. These principles insist upon: - sharing power with the people and the Executive; - the accountability of the Executive to Parliament and Parliament to the people; - access and participation; - equal opportunities. These founding principles have informed my research, in the sense that they relate to political communication. Power sharing and equal opportunities require widespread knowledge of the political process, which depends on openness and access to information. Equally, Parliament cannot be accessible and engender participation without transparency, which is a key principle in the analysis that follows and a benchmark for the empirical evidence I have assembled. With hindsight it now appears that the concentrated effort to innovate and improve Parliamentary practices at Holyrood actually masked the continuity and persistence of British political culture at the Scottish Executive, which remains the locus of government and civil service power in Scotland. The absence of bottom-up and legitimating reform at the Executive has had serious implications for political communication and the business of politics in Scotland. The perpetuation of secrecy, the aversion to disclosure, and the opacity of Executive relations with organised outside interests that characterised lobbying at the old Scottish Office have been impervious to popular democratic expectations for 2 open and participative governance post-devolution. Thus, the scope for a new style of politics was constrained, if not stillborn. Lobbying and Political Communication: studying sources The interpenetration of lobbying and public policy processes, and the agency of important social actors such as corporations and other interest groups, and the media, is a central concern of this thesis. This study adopts an interdisciplinary perspective in examining the nexus of political communication, interest representation, the mobilisation of bias and critical publicity at Holyrood. The overriding ambition of this project is to examine the activities and strategies of lobbyists,
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