§ Mr. HanleyTo ask the Lord President of the Council if his review of the scheme for financial assistance to Opposition parties has been completed; and if he will make a statement.
§ Mr. WakehamA comprehensive review of the scheme for financial assistance to Opposition parties, or "Short" money, the first since it was introduced in 1975, has now been completed, and I intend to table shortly the necessary motions, embodying a number of proposed changes to the present resolution.
In particular, it is proposed that the existing separate arrangements, which pre-date the introduction of "Short" money, whereby certain office equipment, postal facilities and stationery, are provided for the official Opposition out of departmental Votes shall be brought to an end. The current arrangements for the employment of four officially paid staff in the official Opposition Whips' Office would however, remain unaltered.
It is also proposed, following discussion with the Opposition parties, that certain detailed changes should be made in the accounting procedures for these funds; in particular, that an independently certified statement should in future be made annually on behalf of the entitled parties that the amounts claimed have been expended on purposes in accordance with the resolution of the House.
The review has also taken account of the recommendation made by the Top Salaries Review Body (report No. 24) for a similar "Short-type" scheme to be introduced in the House of Lords. The Government agree, in principle, that such assistance should be provided. Whilst, therefore, it is not proposed to establish a separate scheme for the House of Lords, it will be recommended that the amounts made available under this scheme to Opposition parties should in future be on the understanding that a substantial part of that assistance will be allocated to their work in that House.
In the light of these proposed changes in the scope of the scheme, and the rises in relevant costs since the formula for calculating the amounts payable to entitled parties was last approved by the House, it is proposed that the new annual amounts payable under this scheme shall he based on £2,550 for each seat won by the qualifying party at the last general election plus £5.10 for every 200 votes. This new formula represents a rise of 70 per cent. in the formula approved for the existing scheme in 1985, but is not, of 105W course on a comparable basis. The new arrangement would be backdated to the date of the last general election, and is on the basis that there will be no further rise during this Parliament. It is further proposed that, in so far as the eligibility for assistance under the terms of the existing resolution is related to parties as they stood at the last general election, exceptional provision shall be made for the allocation of financial assistance to the Social and Liberal Democratic party and the present Social Democrat party, relating to their existing parliamentary membership.