Standards of Conduct in the House of Lords

The House of Lords should adopt a short Code of Conduct.

The Code should incorporate both the Seven Principles of Public Life and the principles adopted by the House of Lords in its 1995 Resolution, viz. 1. Members of the House should act always on their personal honour; and 2. Members should never accept any financial inducement or reward for exercising parliamentary influence.

The Code should also incorporate the principles which the House of Lords adopts concerning the registration of members’ interests. and Observations Declaration and Registration of Interests Reference is made in the recommendations which follow to the three categories of the present Register of Lords’ Interests. The categories are: (1) Consultancies or any similar arrangements, involving payment or other incentive or reward for providing parliamentary advice or services. [Registration mandatory] (2) Financial interests in businesses involved in parliamentary lobbying on behalf of clients. [Registration mandatory] (3) Other particulars relating to matters which members consider may affect the public perception of the way in which they discharge their parliamentary duties. [Registration discretionary]

The registration of all relevant interests should be made mandatory.

The test of ‘relevant interest’ for registration under category (3) should be whether the interest may reasonably be thought to affect the public perception of the way in which a member of the House of Lords discharges his or her parliamentary duties.

Category (3) should cover both financial and non-financial interests and such interests should be distinguished in the lay-out of the Register.

The Register should be supplemented by brief written guidance setting out a list of those interests which clearly fall within the test of ‘relevant interest’.

A member of the House of Lords who registers a relevant financial interest under category (3) should not be required to disclose in the Register the remuneration derived from that interest.

The mandatory Register should apply to all members of the House of Lords.A

Rules on private financial interests akin to those in the Ministerial Code should not be applied to opposition spokesmen and women. Lobbying and the Ban on Paid Advocacy

Members of the House of Lords should continue to be allowed to hold parliamentary consultancies, subject to the existing prohibition on paid advocacy.

The guidance on the operation of category (2) should be amended. It should be made clear that the requirement to register is not confined only to those members with interests in lobbying firms, narrowly defined.

The guidance on the operation of category (2) should also be amended so as to make it clear that members who register under that category should refrain from participating in parliamentary business only when that business relates to their own personal clients. A Save those members of the House of Lords who have taken Leave of Absence. 9 Seventh Report of the Committee on Standards in Public Life

A member of the House of Lords who has an agreement for a consultancy or any similar arrangement under category (1) should deposit a copy of that agreement with the Registrar of Lords’ Interests.

The House of Lords should ensure that deposited agreements and details as to the remuneration derived from parliamentary services under category (1) be made available for public inspection. Compliance

The House of Lords should reconsider the existing induction arrangements for new members of the House with a view to providing more detailed guidance about the scope and operation of the conduct rules.

The general advice of the Sub-Committee on Lords’ Interests on the application of the guidance on the declaration and registration of interests should be reported, through the Committee for Privileges, to the House.

Members should be encouraged to raise in the first instance any allegation about breaches of the rules in a private communication with the member about whom the complaint is made.

Thereafter, if the complaining member chooses to pursue the matter, that member should, in accordance with the Griffiths Committee’s recommendation, refer the allegation directly to the Sub-Committee on Lords’ Interests, through its Chairman.

The Committee sees no need for the appointment of a standing Parliamentary Commissioner for Standards in the House of Lords but recommends that the Sub- Committee on Lords’ Interests should be able, in appropriate cases, to appoint an ad hoc investigator.

The Sub-Committee on Lords’ Interests should continue to be responsible for the adjudication of allegations relating to the conduct of members.

In serious cases, the procedures adopted should meet the "minimum requirements of fairness" set out by the Nicholls Committee for such cases.

A member of the House of Lords who receives an adverse ruling from the Sub- Committee on Lords’ Interests should have a right of appeal to the Committee for Privileges. and Observations APPENDIX A Resolutions of the House of Lords relating to the declaration and registration of interests (7 November 1995) Procedure of the House—Resolved, That the practice of the House in relation to Lords' interests should be governed by the following principles: (1) Lords should act always on their personal honour; and (2) Lords should never accept any financial inducement as an incentive or reward for exercising Parliamentary influence. Thus Lords who accept payment or other incentive or reward for providing Parliamentary advice or services, or who have any financial interest in a business involved in Parliamentary lobbying on behalf of clients, should not speak, vote, lobby or otherwise take advantage of their position as members of the House on behalf of their clients. This restriction does not extend to matters relating to Lords' outside employment or directorships, where the interest does not arise from membership of the House. Lords should, however, be especially cautious in deciding whether to speak or vote in relation to interests that are direct, pecuniary and shared by few others. In relation to private bills, Lords should not speak or vote on bills in which they have a direct pecuniary interest. The above guidance cannot cover all eventualities, and therefore the decision ultimately rests with Lords themselves whether it is proper to take part in a debate or a vote in which they have a personal interest. Lords who have a direct financial interest in a subject on which they speak should declare it, making clear that it is a financial interest. They should also declare any non-financial interest of which their audience should be aware in order to form a balanced judgment of their arguments. Such interests may be indirect or non-pecuniary, for example the interest of a relation or friend, hospitality or gifts received, trusteeship, or unpaid membership of an interested organization, and they may include past and future interests. This rule also applies where Lords are using their influence as a member of the House in communication with a Minister, Government Department, local authority or other public body outside the House. On certain occasions such as Starred Questions and the various stages of a bill following Second Reading, it may be for the convenience of the House that Lords should not take up time by repeating declarations of interest but Lords should make a declaration whenever they are in doubt. The nature of the interest should be made clear notwithstanding that it may be well known to most other Lords present in the Chamber. Similar principles apply to proceedings in committees off the floor of the House. 11 Seventh Report of the Committee on Standards in Public Life The Clerk of the Parliaments is available to advise on the interpretation of this guidance in a case of uncertainty. Registration of Interests—Resolved, That there shall be established a register of: (1) consultancies, or any similar arrangements, whereby members of the House accept payment or other incentive or reward for providing Parliamentary advice or services; (2) any financial interests of members of the House in businesses involved in Parliamentary lobbying on behalf of clients; and (3) any other particulars which members of the House wish to register relating to matters which they consider may affect the public perception of the way in which they discharge their Parliamentary duties. The register shall be maintained under the authority of the Clerk of the Parliaments by a Registrar appointed by him. Existing arrangements falling within categories (1) and (2) above shall be registered within one month of the register being established. Subsequent arrangements falling within those categories shall be registered within one month of their being made. The register shall be available for public inspection in accordance with arrangements to be made by the Registrar. The register shall also be published annually. The annual edition shall include all arrangements registered since the previous edition; and all continuing arrangements unless their termination has been notified to the Registrar. The operation of the register shall be overseen by the Committee for Privileges.