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Campaign for Conservative Democracy Newsletter July 2004 |
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Archive 1999 Contents
December 19th At last the Conservative Party accounts for
the year to 31st March 1999 have been published. The date of publication gets
later each year. It is interesting to note that two former Treasurers who have
now got their Conservative Party Accounts
December Question of the Month - Result Should Overseas Residents be able to vote in UK Elections? No 27% Yes, If overseas less than 5 years 73% Yes, If overseas less than 10 years 0% Yes, If overseas less than 20 years 0% Yes 0% At present overseas residents are eligible to vote in UK
elections for up to 20 years. Is it right that people who The Conservative Party originally expressed reservations,
primarily because such a law would prevent Michael Ashcroft from donating money to the
Party as he has been an overseas resident for more than 5 years. Foreign
donations will not be allowed under the proposed legislation on Party funding, although
donations from people on December 7th Westminster Parliamentary Candidate Selection What is happening in the Westminster Parliamentary candidate selection? Did Westminster ever affiliate to the Conservative Party? Nobody seems to know. If it did then it has to stick to the guidelines and procedures forthe selection of parliamentary candidates, but if it did not then it can conduct itself according to it's own rules. It would be interesting if Central Office could publish a list of those constituencies which have not affiliated. Pressure was brought on constituencies to affiliate by telling them they could not have representation at the Party conference if they did not affiliate. We understand that in Westminster's case they in turn said to Central Office that if that was the case they would not pay any money to the Party. Collapse of Central Office. Update. At the Annual General Meeting of the Westminster Association held in June 1999 in response to a question about affiliation the meeting was told "there are some rules that we do not agree with" We can take it from that answer that Westminster is still not affiliated to the Conservative Party. It is said that two years ago a group of former FCS(Dissolved by Norman Tebbitt) members set up an organisation called "The Movement" to take over the Westminster Constituency Association. The intention was to keep it for Michael Portillo. He, having got Kensington and Chelsea they switched their allegiance. Was their candidate successful? December 1st MICHAEL ASHCROFT by John E. Strafford Chairman, Campaign for Conservative Democracy In an article in "The Independent" (25th November) Michael Ashcroft asks "Why am I the victim of all these vicious smears? I do not seek anything for myself beyond the return of a Conservative government." Has it not occurred to Mr. Ashcroft that many people find it incredible that a person who is the Ambassador to the United Nations for a foreign county (Belize), who has voluntarily opted to spend at least 275 days per annum outside the United Kingdom for tax reasons is donating £1million to the Conservative Party for nothing other than the return of a Conservative government. Did it never cross his mind that every previous holder of the post ended up with a peerage, that the position gives direct access to the Party Leader with the opportunity whether taken or not to influence him, that as a donor of 10% of the income of the Party he is in a position as Treasurer to veto any expenditure of the Party he does not approve - a situation the Party used to avoid by having a Chinese wall between fund raising and expenditure. If he does believe that ordinary members of the Party find these credible and acceptable then let him put it to the test. Let him stand in an election for Party Treasurer. Michael Ashcroft says he gives the money to the Party because he supports the Tory principles of free markets and personal liberty. Does he also support the principle of democratic accountability and if so why is this principle not applied within the Tory Party? It has been reported that Mr. Ashcroft is to return to the United Kingdom as a resident. If so, this is good news for the UK taxpayer, but also it would remove the main handicaps to him being elected as Treasurer. In 1945 the Conservative Party suffered a massive defeat in the General Election. Party membership was only 250,000, a little less than today. It was an ageing membership - the young had gone to war. By 1951 the Party had 2.8million members and the Party Chairman, Lord Woolton, had raised £10,000,000 at today's values, mainly in small subscriptions and donations. He changed the nature of the Party by stopping candidates and MP's buying their positions by limiting to £100 per annum theamount they could donate to their Association (something we have recently forgotten). He did all this by concentrating the effort into developing mass membership. No donation or subscription was too small. After 1951 Conservative Party membership declined. At the time of the Houghton Report on Party Funding in 1975 it was estimated at 1.5million. However the critical decline took place in the 1980's. Lord McAlpine as Party Treasurer raised every larger sums of money from fewer and fewer individuals. It was easier to do this than build up the membership. The ordinary member was ignored. By 1990 when I was a member of the Conservative Board of Finance, almost the entire CentralIncome of the Party was being raised from less than 200 individuals. It was clear that a recession or severe unpopularity would decimate the Party. We got both, so that by 1993 there was an accumulated deficit of £19,000,000. Sir Norman Fowler (Party Chairman) said in 1993 "The last eighteen months have seen solid progress in correcting the Party's financial position with a series of sweeping reforms of the Conservative Party Organisation. Tough and at times painful action has been taken to get our finances on a more stable footing. Spending has been cut to the lowest level in real terms since 1979." So were the lesson learnt? In the year to 31st March 1998 there was a deficit of £10,000,000. The Party had negative net assets of £4,000,000. Membership is down to 300,000. This year Michael Ashcroft stated "When William Hague appointed me as Chairman of the Board of Treasurers, I committed myself to the total reorganisation of the Fund Raising and cost structures of the Conservative Party. The new cost controls at Central Office were instigated during 1998 and expenditure has been firmly under control since September of that year (Was it not before?) The new slimmer organisations at Central Office is more efficient and effective than ever before. You have my personal assurance that every penny that comes into the Treasurer's office is well spent." The importance attached to membership of the Party is illustrated by the fact that the total staff of the Membership Department at Central Office in October 1999 is two. Are the Parliamentary Party concerned at this state of affairs! No, they all appear to believe that they are safe because they believe that the result of the next Election cannot be worse than the last. The decline in membership does not unduly concern them. Members of Parliament are accountable to the electorate at a General Election. Between elections the only checks on them come from their membership - the fewer the members the easier it is to satisfy them and the less likelihood they were be hauled before an Executive to account for their actions. A democratically elected Treasurer would have to address the concerns of the membership. Members would be able to influence priorities in expenditure. The higher the membership the greater the chance that it will reflect the views of the people. The members are the link between the MP and the people. Finally let me give a small example of the difference between an appointed Treasurer and an elected Treasurer. Since Sir Norman Fowler was Party Chairman the Accounts of the Party were available at the Party Conference and were sent to Constituency Chairmen . Last year Michael Ashcroft stopped this because the Party could not afford the £10,000 needed to print the accounts. An elected Treasurer would have said "We cannot print the Accounts because we do not have £10,000. However if any person wishes to have a copy they can buy a photocopy for £5 and in addition we are putting the Accounts on the Internet so that anybody can see them free of charge." Incidentally in spite of the fact that we are now more efficient
and effective than ever before - when I asked at the Party Conference for a copy of the
Party's Accounts for the year ended 31st March 1999 I was told they were not available. For democracy to survive in the United Kingdom we have to ensure that those institutions that are part of the democratic process, i.e. the Political Parties, are themselves democratic. The Labour Party is treading the same path down which the Conservative Party has gone. It will find that the patronage of power which attracts the big donors will have the same financial consequences for them as it has had for the Conservative Party. Do we want our democracy controlled by the cosy little club or the control freaks? This is why Mr. Ashcroft you should stand for election or resign. The choice is yours.
The Selection of the Conservative candidate for Mayor of London. In the 1945 General Election 85 of the Conservative MPs elected
were Old Etonians. In the early 1990s as the financial situation of the Party deteriorated and many Associations faced financial difficulty the expense allowances of Members of Parliament were substantially increased. MPs came under pressure to provide financial help to their constituencies out of their expense allowance. Questions were asked at candidate selection meetings as to how much the candidate would contribute. As Constituency Associations became more dependant on their MP financially the MPs found that they had more power over their Constituency Association. The threat of withdrawing finance worked wonders for the MPs to get their own way. Once again MPs were buying their selection although this time they were using taxpayers money to do so. Conservative Central Office first of all turned a blind eye to what was happening, then unofficially encouraged it. Now we understand that the sum that an MP can donate is limited to £5,000 per annum as a contribution to "parliamentary" costs. In the selection of the candidate for Mayor of London a limit of £80,000 was allowed to each candidate to spend on fighting for their selection. There are very few candidates that can afford to spend that amount of money. Once again only the wealthy can participate. The Conservative Party has reverted back over 50 years. It is time the Party brought into being detailed rules for internal elections. London has 38,000 members of the Conservative Party. If similar rules applied to the selection process as to a candidate fighting a General Election each candidate would be allowed approx. 15p per elector plus a free mailing. In the case of the selection of Mayoral candidate this would mean that each candidate would have been limited to £5,700 - a much more reasonable amount than the £80,000 that they could have spent. One can only speculate as to whether the present candidate for London's Mayor would be there if there ad been such a limit. If the Conservative Party is to be "saved" again it must not allow itself to become the plaything of the wealthy. Where is Lord Woolton today? We hope he is not turning in his grave. November 21st The downfall of Jeffrey Archer was utterly predictable. Many party members knew he would never get to the Mayoral election. Below we show the major flaw in the Conservative Party selection process. This apart, what else could or should have been done? Under the Party's Constitution it states: 80
"No Member of Parliament, Prospective
Member of Parliament, Member of the European Parliament or
Prospective Member of the European
Parliament, Councillor or Candidate, Party Member, Party Officer, Party 81
If the conduct of any of those mentioned
in Article 80 above is such that the Leader or the Board, in his or its absolute
discretion, has grounds for thinking, is or may be conduct bringing or likely to bring the
Party into disrepute, In view of the above why didn't the
Ethics and Integrity Committee thoroughly check out Jeffrey Archer? Was it Incidentally: 83 The Ethics and Integrity committee shall : 83.4 meet at least twice a year to
consider issues of integrity and personal conduct in general, and if it judges When has it met and what has it reported? After all: 85 "The determination of the Ethics and Integrity Committee shall be published by the Board as soon as reasonably practicable after receipt by it".
What really happened at the National Convention. The Conservative Party has lost none of its skills at stage management. This was vividly illustrated at the National Convention on 4th October in Blackpool. The Establishment were so terrified that the motion to elect a Registered Treasurer might receive substantial support that a concerted effort was made to contact Constituency Chairmen prior to the Convention to tell them to vote against the motion. Even the Conference Chairman - Brian Hanson - was given his list of Chairmen to contact! See Update below for Brian Hanson's response. 17.10.99 The meeting started in the usual way with the Chairman's
(Robin Hodgson) opening remarks and then went on to confirm the Minutes of the Last
Meeting held at Reading on 14th March 1999. Under Matters Arising the Chairman (Robin Hodgson) stated that the officers of the Convention had considered the above amendment and had decided that it was not appropriate to bring it in at this time, so they had decided to defer it. He then asked the meeting for their agreement and moved to next business. Not a single voice was raised in protest at this high handed action. The officers have no right to overturn a motion passed by the Convention. If this is how business is to be conducted in the future what is the point of having a Convention? Is this not the way the old Soviet Politburo used to act? How supine is the Convention? It needs drastic reform. This was one more nail in the coffin of Party democracy. At this rate Robin Hodgson may go down in history as the man who destroyed the Voluntary part of the Conservative Party; but there was more to come! There then followed a session on Parliamentary Selection Procedures, the whole of which could have been put in a written paper. A short period was given for questions. After coffee there was a session on Funding of the Voluntary Party which was useful and interesting but highlighted the low priority that the Party gives to membership by the few people employed at Central Office to deal with membership (one). The last session before the debate on the elected Treasurer was on Considering Changes to the Party's Constitution. A long speech was made by John Taylor virtually all of which was already in writing before the members of the Convention. There was a short time for questions. The proposals on the Re-selection of MPs went through. Nobody raised the question as to why if the MP decides to have a ballot of all Party members only the MP can send out any literature giving reasons for his/her selection even though at this stage he /she has lost the support of their Executive Council. At approx. 12:30 the Party Chairman arrived in the Hall. He waited until immediately before the debate on the Treasurer was due to start before taking his place on the platform to the usual applause. John Strafford then moved the following motion: "That Part IV, Clause 12.9 of the Constitution of the Conservative Party be altered as follows": Delete the words "The Treasurer of the Party, who shall be appointed by the Leader" Insert the words "The Registered Treasurer of the Party, who shall be elected by the National Conservative Convention" He said "Last
week at the Labour Party Conference the delegates rejected a motion on Economic Policy
proposed by the platform. THAT is democracy in the Labour Party. THAT is the control freak tendency. THAT is the kind of political party that we must NEVER allow the Conservative Party to become. AND I fear for the future when as happened this morning a motion of this Convention can be overturned by the Officers. Two days before the Summer Recess the Labour Government published a Bill on "The
Funding of Political Parties in the The Bill sets out the requirement for a political party to have a Registered Treasurer. The Registered Treasurer will be responsible for The publication of the Income and Expenditure Accounts of the Party and their presentation to an Electoral Commission. The keeping of the Party's accounts and records. The reporting of donations over £5,000 - this to be done on a quarterly basis and weekly during a General Election campaign. The control of expenditure during a General Election on which there will be financial limits and severe penalties for breaching those limits. The Bill also provides for the appointment of 12 Deputy Treasurers based on the same
Regions as were used for the Conservative Associations will have to report all donations over £1,000 and there are
requirements to aggregate amounts so There will clearly have to be a Working Party set up to determine the full
ramifications of this Bill on the Party, but today we Democratic accountability is a fine Conservative principle, but it is not the strongest
argument for having a democratically Democracy in the United Kingdom is under threat. From the West Lothian question in the Scottish Parliament. To enshrining sectarianism in the Northern Ireland Assembly To the control freak tendency of the Labour Party in choosing their leader in the Welsh Assembly by the use of Trade Union block votes. Our democracy is under threat. From the stealth by which Regional Assemblies are being brought in To the undemocratic nature of the closed list system for the European Elections To the abolition of the House of Lords and its replacement by Tony's cronies. Our democracy is under threat And I haven't even mentioned yet the lack of democracy in the European Union. Tony Blair is standing astride the biggest pile of the male equivalent of cow dung this
nation has ever seen, and is pouring it all It is the historic destiny of the Conservative Party to defend Democracy, and we must practise what we preach. You cannot fight for democracy and yet be undemocratic in your own organisation. The Tide of Democracy is swirling round the ankles of the King Canutes of Conservative
Central Office. We either move Let us be in the forefront in the fight for democracy and freedom. If we want the people to participate in power then we must let the members participate
in the organisation of the I beg to move" After John Strafford had spoken Robin Hodgson then made a speech of approx. 15 minutes opposing the motion.He said the motion was all about Michael Ashcroft ( Although as you can see above John Strafford never mentions Michael Ashcroft) and that this was the issue that the press would concentrate on. He spoke at length about the negotiations with John Strafford to withdraw the motion, and got the sympathy of the audience by saying that one of the conditions of John Strafford's withdrawal was that he would be a member of the working party to be set up to examine the Bill on Party Funding. This was not correct. In the first telephone conversation John Strafford had with Robin Hodgson Robin offered a place on the working party to John Strafford. A week later when further discussions were taking place and when Robin Hodgson was under great pressure (from Whom?) he said that he could not guarantee a place on the working party. (Robin Hodgson is the senior Deputy Chairman of the Conservative Party and Chairman of the National Convention) The only condition John Strafford insisted upon was that included in the remit
of the working party should be "Whether the Registered Treasurer should be an elected
position or not" Robin Hodgson could not agree to From the floor Michael Normington then made a measured speech calling for the election of Party officers. The motion was then put to the vote by a show of hands. (the system a
Conservative Government made illegal in After the meeting Robin Hodgson issued a press release which stated: "The meeting confirmed its support for Michael Ashcroft's great efforts in raising money for the party (As you can see above Michael Ashcroft isnot mentioned in the motion so we do not know how you can arrive at this statement) and clearly felt that John Strafford's proposal was above all inappropriately timed and likely to be used by members of the Labour and Liberal Democrat parties for their own ends. John Strafford has undoubted energy and passion; it is a pity he does not turn this on our opponents. He is an experienced volunteer and one can only conclude that his proposal was either naive or mischief making." The Tory Reform Group have now announced that they are in favour of an elected Treasurer. Also in favour are The Charter Movement and The Campaign for Conservative Democracy. John Strafford spent the rest of the week in Blackpool during which time he
spoke to many people. Only one William Hague made a great speech at the conference giving more power to the
people. That same culture must The Bill on party funding will be debated in parliament in November. After The Meeting
John Strafford being interviewed by Laura Trevelyan of the BBC. Hold it. Who is this interrupting the interview?
Why, it is Robin Hodgson, Chairman of the National Convention.
We unreservedly apologise for the error in our report and withdraw the allegation that Brian Hanson was given a list.
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