§ Mr Winnickasked the Secretary of State for Trade and Industry if he will introduce legislation that would require companies to ballot their shareholders on whether a political fund should be established to make political donations.
§ Mr. ChannonNo, Sir.
§ Mr. WinnickAs the Government were so insistent that trade unions should have to ballot their members every 10 years about whether a political fund should be established or maintained, why should the same not apply to companies? Is the Minister aware that a recent MORI poll found that 82 per cent. of the people surveyed believe that companies should be treated in the same way as trade unions? Did the Minister say no simply because the bulk of the money goes from companies to the Tory party and its front organisations?
§ Mr ChannonNo. The hon. Gentleman knows perfectly well that there are completely different factors relating to trade unions and companies. Shareholders have complete freedom of choice to invest their money, but many trade union members have no choice, and, even now, are forced to join a union to get a job. Moreover, we all know how misleading the trade union campaign was on political fund ballots. The two matters are not in any way analogues, and it would be wrong to legislate.
§ Mr. SumbergIs it not a fact that every company must have an annual general meeting, and that at that meeting the shareholders can accept or reject the donations? The fact that they rarely, if ever, do, proves that British industry and shareholders want a Conservative Government returned at the general election because they know that if the Opposition were returned it would be a disaster.
§ Mr. ChannonI agree with my hon. Friend, and I am glad that British industry shows that common sense.