---

Political Parties: Funding

My Lords, apart from any past interests, I ought to declare a current interest as a member of the Labour Party Superannuation Society. Can my noble and learned friend confirm that, when the Statement says that any system of caps should not gratuitously advantage one party against another,it also implies that it should not gratuitously or otherwise disadvantage one party against another, as would undoubtedly be the case if the proposal of the noble Lord, Lord Strathclyde, were accepted? Secondly, and more importantly, on state funding, the noble Lord, Lord Shutt, referred to the report by the late Lord Houghton of Sowerby in 1976. It recommended three forms of state funding: one which supported parliamentary activities, particularly those of the opposition parties, that has been enacted on and funding has greatly increased under this Government; one for policy development, for which a small amount of money has been provided; and, more substantially, one for support for the activities of political parties in the country—party organisation and party education. That suggestion has never been enacted. Lord Houghton’s report benefited parliamentarians hugely, but it has not benefited the operation of political parties one iota where it matters, which is at the grassroots. Yet the grassroots have been faced with increased costs. Are we now in a situation where the Government and the leaders of the other parties can sensibly discuss state funding?