Present:  The Rt Hon Michael J Martin MP, Speaker, in the Chair
  The Rt Hon Alan Beith MP, Chairman, Constitutional Affairs Committee
  Mrs Angela Browning MP
  The Rt Hon Sir Gerald Kaufman MP
  Mr Humfrey Malins CBE MP
  The Rt Hon Nick Raynsford MP, Minister for Local Government, Regional Governance and Fire
  Mr Peter Viggers MP

Apologies for absence:   The Rt Hon Lord Falconer of Thoroton QC, Lord Chancellor

      Lady Hermon MP

1. Speaker's opening remarks

The Speaker extended the Committee's congratulations to Sir Gerald Kaufman on his knighthood in the Queen's Birthday Honours.

The Speaker informed the Committee that Professor Graham Zellick had been relieved of his office as an Electoral Commissioner at his own request, to enable him to concentrate on the full-time position of Chairman of the Criminal Cases Review Commission.

2. Remuneration of part-time Electoral Commissioners

The Committee noted that the House had agreed, on 13 July, a Resolution on the remuneration of the part-time Electoral Commissioners. Its provisions included a basis for automatic up-rating in future years.

3. The Electoral Commission

The Committee held a general discussion about the work of the Electoral Commission.

It was recognised that the Electoral Commission had been given a wide range of promotional, regulatory, and quasi-judicial responsibilities in the Political Parties, Elections and Referendums Act 2000 (PPERA). These called for very different approaches, and there was scope on occasion for an underlying tension between the approaches required for different functions. The Commission's responsibilities had been added to in subsequent legislation, and were likely to increase further, notably by the transfer of the functions of the Parliamentary Boundary Commissions. Extension of the Commission's role was unlikely to reduce this tension, and might in fact increase it.

The Committee also recognised that there were some difficulties in the statutory framework within which the Commission had to operate. It had no doubt that, overall, the Commission had a complex and difficult job to do, but there was general agreement that it did not always do this as successfully as it might.

A number of specific areas of concern were mentioned, including the apparent lack of progress in reviewing the staffing structure of the Commission's finance team in the light of suggestions made by NAO staff for strengthening the Commission's finance function. Concern was also expressed that the Commission was not assessing its priorities as effectively as it might, and appeared to be trying to extend its influence by an undue emphasis on discretionary areas of activity, including areas—such as training for electoral administrators—where others might be better placed to deliver quality outcomes; and that some outputs, such as the advertising campaign in advance of the June 2004 elections, had not been effective. A greater focus on value for money was called for, to improve the Commission's use of time and resources.

Some members found the Corporate Plan difficult to follow, and considered that it reflected in particular a lack of clarity and sharpness about the Commission's objectives. Some of the performance indicators were seen as being of little value, being entirely process driven. It was felt that both the planning processes and the financial control could be sharpened up.

It was agreed that some of the difficulties may stem from the apolitical nature of the Commission. It rightly guarded its independence from the Government of the day, but sometimes appeared to overlook the fact that it was nonetheless an important and integral part of the political process, with which it did not always appear to have adequate mechanisms for effective engagement. This had led on occasion to the Commission adopting unhelpfully legalistic or theoretical approaches to practical political problems, including the need to avoid discouraging voluntary party workers through excessive bureaucracy. A better framework was needed for its engagement with politicians, and political parties generally.

The Committee agreed that, in view of the rapid growth in the Commission's requirement for resources, it would need to adopt a more focussed approach in discharging its responsibilities to the House under PPERA. It therefore would need to document its activities more, and develop better follow-up procedures. A more rigorous approach on the part of the Committee might also help to concentrate the Commission's mind.

The Committee noted that, in effect, PPERA required it to confirm, every time it presented an Estimate or five-year plan to the House, that the contents were consistent with the exercise by the Electoral Commission of due economy, efficiency and effectiveness in the discharge of its functions. The Committee therefore had some responsibility to take practical and proportionate steps to satisfy itself that that this was the case.

Given the rapid increase in the Commission's requirement for resources and the likely continuance of this trend, criticisms of the way the Commission discharged some of its functions, and likely future extensions of the Commission's responsibilities, the Committee agreed that it should initiate a review, by officials, of the Electoral Commission, the principal underlying purpose of which would be to improve the effectiveness with which the Committee discharges its statutory duties. It further agreed that the review should be completed as soon as possible, and that the terms of reference and the composition of the group conducting the review should be a matter for the Speaker.

4. The financial responsibilities of the Speaker's Committee

The Committee noted its responsibilities under PPERA in relation to Estimates and five-year plans submitted to it by the Electoral Commission, including the requirements to consult the Treasury and to have regard to any advice the Treasury may give when deciding whether these are consistent with the economical, efficient and effective discharge by the Commission of its functions. In the light of the continuing substantial growth in the Commission's requirement for resources, and the consequent increase in the potential significance of the Treasury's advice, the Committee agreed that the Secretary should take forward discussions with the Commission and the Treasury with a view to reinforcing, in a manner consistent with the Commission's statutory independence from Government, the Treasury's existing arrangements for financial oversight of the Commission's activities.

The Committee also agreed to ask the Electoral Commission to submit future Estimates and five-year plans in sufficient time for them to be examined, if necessary, by the Scrutiny Unit before it considered them. In order to provide it with a greater opportunity to consider the substance of the Estimates for the forthcoming financial year, the Committee decided to ask the Commission to submit a more detailed forecast of the expected resource requirements to the meeting preceding that at which the Committee would be expected to agree the Estimate.

5. Corporate Plan for 2004-05 to 2008-09: Further consideration

The Committee considered the revised version of the Corporate Plan for 2004-05 to 2008-09 which had been submitted by the Electoral Commission.

The Committee noted that the Plan now included some basic financial data on the estimated requirement for resources over the five year period. It recalled comments made by the Treasury on the original version that the number of targets in the Plan might be reduced, to ensure that the Commission conveys a proper sense of focus on its main objectives, and that targets should be refined, so that they more fully reflect what the Commission ultimately aims to achieve rather than how it does so. The Committee agreed that some progress had been made on these points in the revised version, but was keen to see further improvements in the next Corporate Plan. In this context, it noted that the Commission is planning a complete review, in the autumn, of its Corporate Aims and Objectives.

The Committee agreed that the revised version of the Corporate Plan for 2004-05 to 2008-09 was consistent with the economical, efficient and effective discharge by the Commission of its functions, and accordingly asked the Speaker to lay it before the House of Commons.

6. Report to the House of Commons

The Committee agreed a report to the House (First Report 2004), in accordance with the provisions of paragraph 1(1) of Schedule 2, PPERA.

7. Any other business

The Secretary informed the Committee that the appointments of two Commissioners, Pamela Gordon and Sir Neil McIntosh, would expire in January 2005, and that there was now also a vacancy following the departure of Professor Zellick. The Committee noted that the Speaker's agreement was required, by virtue of section 3(2), PPERA, before the House could consider any motion for an Address to appoint, or re-appoint, an Electoral Commissioner. It therefore agreed that it would be appropriate for the appointment processes to be conducted, and the statutory consultations carried out, under the authority and oversight of the Speaker.

8. Date of next meeting

The Committee adjourned to a date to be fixed by the Speaker.