Labour calls for new laws to stop ‘crony’ lobbying

Emails adds to pressure on Cameron

NEW laws should be introduced to stop so-called “cronyism” in the lobbying of the Government, Labour has said.

Leeds West MP and Shadow Chancellor of the Duchy of Lancaster Rachel Reeves said laws must be tightened in the wake of the continuing controversy over David Cameron’s activities on behalf of the collapsed finance company Greensill Capital.

And she said a Labour government would set up a taskforce to tackle cronyism in Westminster.

It comes after it emerged that former Prime Minister Mr Cameron had used his contacts to lobby Chancellor Rishi Sunak to support Greensill, one of the major financiers for Liberty Steel, through the Government’s Covid Corporate Financing Facility.

Under the existing rules, Mr Cameron did not have to make a declaration when he went to work for Greensill after leaving office as he was not an outside “consultant” lobbyist.

But Ms Reeves said Ministers should include legislation in next month’s Queen’s Speech to expand the register of lobbyists to cover so-called “in house” lobbyists like the former Prime Minister.

Greensill’s application for help was rejected by officials and the firm subsequently filed for insolvency, putting at risk thousands of steel-making jobs in Yorkshire and across the UK as well as rendering

Mr Cameron’s reported tens of millions of share options worthless.

Ms Reeves said: “Given the cronyism consuming the Conservative party, it’s crucial that the scope of the lobbying register is expanded to include in-house lobbyists.

“Otherwise it’s clearly one rule for them, and another for everyone else.

“The former Conservative Prime Minister’s conduct and the immense access Greensill was given illustrate perfectly both the toothlessness of current rules, and Tory ministers’ complete disregard for any self-driven integrity when lobbying.

“A Labour government would create an integrity and ethics commission to restore transparency and accountability back into the heart of government, introduce a fairer framework for commercial lobbying and stamp out crony contracts while freeing up civil society to campaign.”

The Sunday Times reported yesterday that a cache of leaked emails showed how Australian Lex Greensill told officials in 2012 that “the PM” had requested that he implement his ideas “across government”.

He was said to have sent his proposed loan plan for NHS pharmacies to senior officials but was so confident he told them: “We are not seeking your approval.”

The latest disclosures will add to the pressure on Mr Cameron who brought Mr Greensill into No 10 as an unpaid adviser on supply chain finance.

After leaving office he then went to work as an adviser for Mr Greensill’s firm.

Neither Mr Cameron nor Mr Greensill has commented publicly over any of the claims that have appeared in recent weeks.

It’s clearly one rule for them, and another for everyone else. Leeds West MP Rachel Reeves.