LONDON — Politicians who ignore Westminster’s revolving door rules on private sector jobs should face heavy fines, Britain’s anti-corruption watchdog has said.
Eric Pickles, a former Conservative Cabinet minister who now heads the Advisory Committee on Business Appointments (ACOBA) watchdog, told POLITICO that only the threat of a personal financial penalty would stop certain politicians from breaking government rules.
It come after Pickles’ anti-corruption watchdog accused former Prime Minister Boris Johnson of being “evasive” over his relationship with a hedge fund which helped organize a private trip to meet Venezuelan President Nicolás Maduro.
ACOBA expressed frustration at Johnson’s behavior, but conceded it had no ability to sanction him. The watchdog has been described as “toothless” by critics as it can make recommendations about how former ministers should act when taking up gigs in the private sector — but has no powers to sanction those who ignore its advice.
“In order for the rules to be taken seriously they need to have what I’ve called the threshold of credibility,” Pickles said in an interview with POLITICO’s London Influence newsletter.
“There have to be consequences for breaking them — and they have to be financial consequences.”
Pickles said in practice he would only seek to use financial sanctions for “egregious cases that are plainly and utterly wrong,” but argued a tougher regime would make applicants “much more attentive to the rules.”
And he questioned the “credibility” of a Conservative government which has repeatedly promised to tighten the rules — but subsequently failed to deliver.
“What we’re looking for is leadership,” Pickles said. “The time for excuses is over.”
‘Promise upon promise’
Last summer the U.K. government promised “fundamental reforms” of Britain’s business appointment rules, which are designed to stop ex-ministers and top officials unduly exploiting their previous positions of power when working in the private sector.
Typically ex-ministers are barred from lobbying government for up to two years after leaving office, and from taking jobs with firms with whom they worked closely while in government.
Among the ideas floated last July were the introduction of a “ministerial deed,” under which ministers and senior officials would agree to abide by ACOBA’s recommendations after they left office or face fines of up to £19,000.
But despite pressure from MPs and campaigners, progress has stalled. In a letter to Deputy Prime Minister Oliver Dowden last week, Pickles said if given the green light, the reforms could be in place within a matter of weeks.
“I’ve had promise upon promise upon promise and I’ve given them time, and now I think they’re running out of time,” Pickles told POLITICO. “I’m running out of time. Credibility is running out of time. They need to take action.”
As things stand ACOBA’s powers remain limited to publishing disapproving letters. These letters have become increasingly forceful over time, Pickles added, but the deterrence effect is minimal.
“So far as ministers as concerned, they’ll get a bit of bad publicity,” he said.
Campaigners fear the opportunity to implement reforms ahead of the looming U.K. election is rapidly diminishing.
Sue Hawley, director of campaign group Spotlight on Corruption, told POLITICO she was “infuriated” by the delays, especially since the government’s proposals would introduce a financial penalty which still pales in comparison to the six-figure sums being pocketed by some former ministers in the private sector.
“Unfortunately, I am just not sure they care enough,” she said. “I think they could be making a political calculation that it’s not going to be great for them to launch these things given the reputational damage has been already done.”
But Pickles insisted ministers can and should reform the system before the general election, to send a signal to the public they are serious about improving ethics.
“I think if it doesn’t happen before the general election, it would be very difficult to defend on the doorstep,” Pickles said. “And I think what the government will do is to create another problem for them to defend.”
A Cabinet Office spokesperson said a significant portion of the “wide-ranging package” of ethics reforms set out by the U.K. government last summer is now in place.
“The implementation of further reforms is progressing, and details will be set out in due course,” they said.
This interview first appeared in POLITICO’s weekly London Influence newsletter on campaigning, lobbying and transparency in Westminster.
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