After discussions with the NCVO (National Council for Voluntary Organisations) and others, and in order to make the point as clear as possible whilst maintaining the reforms to electoral law, the government say they now propose to revert to the situation as set out under existing legislation, which defines controlled expenditure as expenditure "which can reasonably be regarded as intended to promote or procure electoral success".
However the Shadow Leader of the House, Angela Eagle, warned the government on August 28th that there were problems within the bill saying: "The big money in politics today is spent by political parties, not by charities and campaigning groups. Yet this bill looks to gag the latter, while doing nothing to curtail the former, which spent 10 times more than all third parties put together in the run-up to the last general election. No one supports this bill. It is a bad piece of legislation that will take our politics backwards. My message to David Cameron today is this: think again; rewrite this bill so it properly regulates the lobbying industry, doesn't attack the big society that you once championed and takes the big money out of politics."
On Tuesday the Leader of the House Andrew Lansley rubbished her claims, but has said today: "I heard what charities and voluntary organisations had to say. While we always were clear that we had no intention of preventing them campaigning on policies and issues as they always have, I wanted the Bill to be as clear as it could possibly be. So, I am very glad that I have been able to meet the concerns of voluntary organisations, while ensuring that the Bill still regulates effectively when organisations directly try to promote election candidates and parties."
A number of amendments have been tabled. The Government intends to respond in a way which meets both the principle and spirit of these. they say they will work with the relevant select committees and MPs at the next stages of the Bill in the Commons to ensure it can be amended to give this effect. It is important to reiterate that the Bill will still bring down the national spending limit for third parties, introduce constituency spending limits and extend the definition of controlled expenditure to cover more than just election material, to include rallies, transport and press conferences.
The Government has worked with the Chair of the Political and Constitutional Reform committee to draft an amendment which would exempt MPs on the basis of acting in the normal course of their duties as an MP. MPs who break the Code of Conduct and engage in consultant lobbying would still face the same penalties as members of the public.
Following a meeting today with the Leader of the House, Sir Stuart Etherington, Chief Executive of the NCVO said: "I am pleased the Government has listened to and significantly met the concerns of charities and community groups. I understand the Government's intention was not to make their normal work subject to this regulation. We will work closely with the Government and the Political and Constitutional Reform Committee in order to deliver this intention."