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1705 Public Administration Committee 6 JUNE 2013 Public Administration Committee 1706 Report (Charity Commission) Report (Charity Commission) Mr Jenkin: I will give way to the hon. Gentleman again, but first I give way to my hon. Friend. Mr Nuttall: I thank my hon. Friend and his Committee for their report. I look forward to reading it in more detail, but I will be honest and say that I have only had a chance to skim through it. I want to concentrate on conclusion 28, on the payment of trustees. Does he agree with me that in cases where there are voluntary trustees who are willing to replace expensive paid-for corporate trustees, that should be encouraged, welcomed and, indeed, facilitated by the Charity Commission? Mr Jenkin: I am grateful to my hon. Friend for that question, because we were presented by my noble Friend Lord Hodgson with a recommendation that it should be made much easier for trustees to be paid officials. I have to say that there was a strong reaction against that proposal, which has a bearing on the point my hon. Friend raises because the whole point about charities is that trustees are not paid. There may be quite highly paid executives in charities, but the job of a trustee is not to benefit financially from being a trustee. There are exceptions, but the Charity Commission has to approve them. I believe my hon. Friend is suggesting that the commission should be prepared to withdraw that consent in the event of a person offering to do the job for nothing. I invite the commission to consider that matter, which we may revisit in a future inquiry. Paul Flynn: Following the remark by the hon. Member for Wellingborough (Mr Bone) that a number of Christian denominations have been under pressure from the Charity Commission, will the Chair of the Committee remind the House that 1,176 Christian and other religious associations were awarded charity status, but only one tiny and oppressive sect was turned down, and that was Hales Exclusive Brethren? Is it not appropriate to remind the House that we were subjected to the most intensive lobbying on this matter? Two million pounds was spent and I was personally approached—face to face—more than 50 times, including at my party conference. Around every corner in this House, there were members of that very unpleasant sect waiting to accost us. The Committee made a point about the control of bodies that lobby in that way. It was not about religion or charitable status; it was about money. Mr Jenkin: I hear what the hon. Gentleman says and he made his views clear in the Committee. I just re-emphasise that we declined to express a view one way or the other on the merits of that case on the advice of the Attorney-General. Mr Bone: My hon. Friend is being generous in giving way. The point I was trying to make is that there are religious organisations of all faiths that are concerned about what is happening and what might happen in the future. Mr Jenkin: That is certainly correct. There has been widespread fear among many colleagues that the case presages a crackdown on religious groups by the Charity Commission. I believe the consistent message in our report is that we believe that too much has been laid at the door of the commission to determine. If Parliament wishes to legislate to provide additional restrictions against religious organisations, it is for Parliament to do that, but there is established case law, which I quoted earlier, that should determine whether or not a religious organisation becomes a charity. It is unfortunate that that particular case became so adversarial. It has to be said that the charity tribunal has not reduced the costs of litigation as was hoped, and there is scope to improve the practices of the commission in handling such disputes, so that vast amounts of the time and resources of the commission and charities, or potential charities, is not absorbed in paying lawyers to argue about how many angels there are on the head of a pin. Paul Flynn: Does the hon. Gentleman agree that that particular sect has been involved in lobbying in other countries—including paying politicians, although I am not saying that that has happened here—and that the resulting disquiet among other religious groups was entirely because of the propaganda of Hales Exclusive Brethren? This is not a religion; it is a very nasty sect that treats its members very badly. We had people giving evidence in this House that they were threatened with losing their job, their home or their mortgage because they bought the wrong computer—not the one that Exclusive Brethren have, which, rather like what happens in North Korea, can only pick up the group’s website. This is an exceptional group of people, and the Charity Commission took no action that was disreputable or wrong. The commission did the right thing in identifying that group and allowing 1,176 other religious groups to have charitable status. Mr Jenkin: I am sure the whole House has heard the hon. Gentleman’s strong opinions on that matter. He will know that the Committee as a whole declined to express a definitive view on the matter on the advice of the Attorney-General. My understanding is that we all agreed that such matters would be best settled by Parliament laying down more clearly the meaning of public benefit or by returning to the previous position in which it was left to the courts to decide, rather than by requiring the Charity Commission to produce guidance on the meaning of public benefit, which has been the source of much dispute. If there are no more interventions—I should be happy to give way to either Front Bencher—I will conclude by stating our belief that the implementation of our recommendations is essential to restore and to maintain public trust in charities and in the Charity Commission, which in turn is essential to promote the good work done by charitable organisations in communities across the country. I hope that the House will join me in thanking the charity commissioners and everyone who works for the commission. They are dealing with a vast work load with diminishing resources—like much of the public sector, they have had to suffer extensive redundancies, with more to come—and we rely on their devoted service. We should thank them for everything they do for charities in this country. Question put and agreed to.

1707 6 JUNE 2013 Student Visas 1708 Student Visas [Relevant documents: Fourth Report of the Business, Innovation and Skills Committee, Session 2012-13, Overseas Students and Net Migration, HC 425, and the Government response, Cm 8557, Seventh Report of the Business, Innovation and Skills Committee, Session 2012-13, Too little, Too late: Committee’s observations on the Government Response to the Report on Overseas Students and Net Migration, HC 1015, and the Government response, Cm 8622, Fifth Report of the Home Affairs Committee, Session 2012-13, The work of the UK Border Agency (December 2011-March 2012), HC 71, Sixth Special Report of the Home Affairs Committee, Session 2012-13, The work of the UK Border Agency (December 2011-March 2012): Government response to the Committee’s Fifth Report of Session 2012-13, HC 825, Eighth Report of the Home Affairs Committee, Session 2012-13, The work of the UK Border Agency (April-June 2012), HC 603, and the Government response, Cm 8591, Seventh Report of the Committee of Public Accounts, Session 2012-13, Immigration: The Points Based System–Student Route, HC 101, and the Treasury minute, Cm 8467] 12.50 pm Mr Adrian Bailey (West Bromwich West) (Lab/Co-op): I beg to move, That this House notes the recommendations of the House of Commons Business, Innovation and Skills Committee, the Home Affairs Select Committee, and the Committee of Public Accounts, together with the House of Lords Science and Technology Committee and the EU Sub-Committee on Home Affairs, Health and Education, for the removal of students from net migration targets; and invites the Home Office to further consider the conclusions of these Committees in developing its immigration policy. I thank the Back-Bench Business Committee for allocating time for this important debate. I am grateful to those Members who helped me get this Back-Bench business debate: my hon. Friend the Member for Sheffield Central (Paul Blomfield), who is not only a fellow Select Committee member, but secretary of the all-party higher education group, whom I thank for the work that he has done, and the hon. Member for Stratford-on-Avon (Nadhim Zahawi), whom I thank for the assiduous way in which he has backed the Select Committee recommendations and worked to ensure that they get wider recognition. The motion demonstrates that there have been five Select Committee reports on this subject. All have examined the student visas issue, all have come to similar conclusions and all have been consistently rejected by the Home Office, even though a considerable number of Government Members on the relevant Select Committees have backed those reports. However, the wording of the motion is deliberately designed not to pursue a confrontational approach with the Home Office, and I will not seek to divide the House on the motion. Rather, the motion has been tabled in order to give the House an opportunity to present a case for removing students from the net migration figures in a way that will be evidence-led and lead to further consideration in the evolution and, I hope, refinement of the Government’s immigration policies. Keith Vaz (Leicester East) (Lab): Will my hon. Friend give way? Mr Bailey: Yes, I could not resist the Chair of the Home Affairs Committee. Keith Vaz: I am grateful to my hon. Friend. I congratulate him on securing the debate and accurately reflecting the views of the Home Affairs Committee. Does my hon. Friend agree that the way we conduct this debate—the language that we use—is extremely important? Over the past year, in the case of India, for example, there has been a 30% decline in the number of students coming to this country because the message has got out that they are not welcome here. Our message is that they are welcome here, and we need to reflect this in the debate that we have and in Government policy. Mr Bailey: My right hon. Friend makes an important point. It is not just the regulatory regime, but the language surrounding the introduction and implementation of that regulatory regime, which define international perception of our policy. I will touch on that in the course of my remarks. Dr Julian Huppert (Cambridge) (LD): I congratulate the hon. Gentleman and his Committee on securing this debate on a very important issue. International students make a huge difference. Apologies from me and, I am sure, from the Chair of the Home Affairs Committee, as we have a Home Affairs Committee debate in another place which starts shortly. Further to the question from the Select Committee Chair, does the hon. Gentleman agree that there are three things that we have to get right—the rhetoric, the policy and the administration? If we fall foul of any of those, we will not get the outcomes that we need. Mr Bailey: I agree. In varying degrees, none of those is right at present. Before I go on to the substance of the issues, let me make it clear that no MP in any party can be unaware of public concerns about immigration or can fail to recognise the legitimacy of the Government’s intentions to address that. Similarly, I do not think that any MP in any party can object to actions being taken against bogus colleges and the use of education as a route to illegal immigration. I am sure all MPs of all parties would stand behind the Government and the education system as a whole in seeking to block that. Mr Barry Sheerman (Huddersfield) (Lab/Co-op): I congratulate the Chairman of the Select Committee on this very good report. It meshes well with the Higher Education Commission report on post-graduate education, which he will know of. What is good about his report is that it flags up in a sensible way the problems of migration and bogus colleges, but points out strongly that, within this international market and this great employment and wealth creator, the universities of this country and post-graduate education in particular are sensitive to the possible reaction of legitimate students— highly qualified people—who come here. Mr Bailey: The hon. Gentleman addresses an important point. Skills and higher education is now a global market. Those with the best brains are increasingly footloose and go to the places where they think they will get the best opportunity to develop their expertise and where they feel they will get the warmest welcome. It is in that international context that we must look at our policies on student visas.

1705 Public Administration Committee 6 JUNE 2013 Public Administration Committee 1706<br />

Report (Charity Commission)<br />

Report (Charity Commission)<br />

Mr Jenkin: I will give way to the hon. Gentleman again,<br />

but first I give way to my hon. Friend.<br />

Mr Nuttall: I thank my hon. Friend and his Committee<br />

for their report. I look forward to reading it in more<br />

detail, but I will be honest and say that I have only had a<br />

chance to skim through it. I want to concentrate on<br />

conclusion 28, on the payment of trustees. Does he<br />

agree with me that in cases w<strong>here</strong> t<strong>here</strong> are voluntary<br />

trustees who are willing to replace expensive paid-for<br />

corporate trustees, that should be encouraged, welcomed<br />

and, indeed, facilitated by the Charity Commission?<br />

Mr Jenkin: I am grateful to my hon. Friend for that<br />

question, because we were presented by my noble Friend<br />

Lord Hodgson with a recommendation that it should<br />

be made much easier for trustees to be paid officials. I<br />

have to say that t<strong>here</strong> was a strong reaction against that<br />

proposal, which has a bearing on the point my hon.<br />

Friend raises because the whole point about charities is<br />

that trustees are not paid. T<strong>here</strong> may be quite highly<br />

paid executives in charities, but the job of a trustee is<br />

not to benefit financially from being a trustee. T<strong>here</strong> are<br />

exceptions, but the Charity Commission has to approve<br />

them. I believe my hon. Friend is suggesting that the<br />

commission should be prepared to withdraw that consent<br />

in the event of a person offering to do the job for<br />

nothing. I invite the commission to consider that matter,<br />

which we may revisit in a future inquiry.<br />

Paul Flynn: Following the remark by the hon. Member<br />

for Wellingborough (Mr Bone) that a number of Christian<br />

denominations have been under pressure from the Charity<br />

Commission, will the Chair of the Committee remind<br />

the House that 1,176 Christian and other religious<br />

associations were awarded charity status, but only one<br />

tiny and oppressive sect was turned down, and that was<br />

Hales Exclusive Brethren? Is it not appropriate to remind<br />

the House that we were subjected to the most intensive<br />

lobbying on this matter? Two million pounds was spent<br />

and I was personally approached—face to face—more<br />

than 50 times, including at my party conference. Around<br />

every corner in this House, t<strong>here</strong> were members of that<br />

very unpleasant sect waiting to accost us. The Committee<br />

made a point about the control of bodies that lobby in<br />

that way. It was not about religion or charitable status;<br />

it was about money.<br />

Mr Jenkin: I hear what the hon. Gentleman says and<br />

he made his views clear in the Committee. I just<br />

re-emphasise that we declined to express a view one way<br />

or the other on the merits of that case on the advice of<br />

the Attorney-General.<br />

Mr Bone: My hon. Friend is being generous in giving<br />

way. The point I was trying to make is that t<strong>here</strong> are<br />

religious organisations of all faiths that are concerned<br />

about what is happening and what might happen in the<br />

future.<br />

Mr Jenkin: That is certainly correct. T<strong>here</strong> has been<br />

widespread fear among many colleagues that the case<br />

presages a crackdown on religious groups by the Charity<br />

Commission. I believe the consistent message in our<br />

report is that we believe that too much has been laid at<br />

the door of the commission to determine. If <strong>Parliament</strong><br />

wishes to legislate to provide additional restrictions<br />

against religious organisations, it is for <strong>Parliament</strong> to do<br />

that, but t<strong>here</strong> is established case law, which I quoted<br />

earlier, that should determine whether or not a religious<br />

organisation becomes a charity. It is unfortunate that<br />

that particular case became so adversarial. It has to be<br />

said that the charity tribunal has not reduced the costs<br />

of litigation as was hoped, and t<strong>here</strong> is scope to improve<br />

the practices of the commission in handling such disputes,<br />

so that vast amounts of the time and resources of the<br />

commission and charities, or potential charities, is not<br />

absorbed in paying lawyers to argue about how many<br />

angels t<strong>here</strong> are on the head of a pin.<br />

Paul Flynn: Does the hon. Gentleman agree that that<br />

particular sect has been involved in lobbying in other<br />

countries—including paying politicians, although I am<br />

not saying that that has happened <strong>here</strong>—and that the<br />

resulting disquiet among other religious groups was<br />

entirely because of the propaganda of Hales Exclusive<br />

Brethren? This is not a religion; it is a very nasty sect<br />

that treats its members very badly. We had people giving<br />

evidence in this House that they were threatened with<br />

losing their job, their home or their mortgage because<br />

they bought the wrong computer—not the one that<br />

Exclusive Brethren have, which, rather like what happens<br />

in North Korea, can only pick up the group’s website.<br />

This is an exceptional group of people, and the Charity<br />

Commission took no action that was disreputable or<br />

wrong. The commission did the right thing in identifying<br />

that group and allowing 1,176 other religious groups to<br />

have charitable status.<br />

Mr Jenkin: I am sure the whole House has heard the<br />

hon. Gentleman’s strong opinions on that matter. He<br />

will know that the Committee as a whole declined to<br />

express a definitive view on the matter on the advice of<br />

the Attorney-General. My understanding is that we all<br />

agreed that such matters would be best settled by <strong>Parliament</strong><br />

laying down more clearly the meaning of public benefit<br />

or by returning to the previous position in which it was<br />

left to the courts to decide, rather than by requiring the<br />

Charity Commission to produce guidance on the meaning<br />

of public benefit, which has been the source of much<br />

dispute.<br />

If t<strong>here</strong> are no more interventions—I should be happy<br />

to give way to either Front Bencher—I will conclude<br />

by stating our belief that the implementation of our<br />

recommendations is essential to restore and to maintain<br />

public trust in charities and in the Charity Commission,<br />

which in turn is essential to promote the good work<br />

done by charitable organisations in communities across<br />

the country. I hope that the House will join me in<br />

thanking the charity commissioners and everyone who<br />

works for the commission. They are dealing with a vast<br />

work load with diminishing resources—like much of<br />

the public sector, they have had to suffer extensive<br />

redundancies, with more to come—and we rely on their<br />

devoted service. We should thank them for everything<br />

they do for charities in this country.<br />

Question put and agreed to.

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