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CFDG hired LibDem researcher to write report on Tory policy

Finance | Gareth Jones | 14 Sep 2009

CFDG paid a Liberal Democrat researcher to write a report on Conservative Party policy for its members, but denies that the move infringes rules on political campaigning.

Antonis Papasolomontos, a senior parliamentary researcher for LibDem MP and CFDG trustee Mark Oaten (pictured), was hired by the CFDG for two months this summer while parliament was in recess.  He was tasked with producing a briefing for the finance directors’ body looking at ‘the Conservative Party’s approach to the sector’.

In one section of the report, Papasolomontos speculates that annual government spending on the third sector could be cut by “a billion or more” annually if the Conservatives come to power.

Spending projection

He projects that each government department, with the exception of the Department for International Development and the Department of Health, can anticipate a minimum funding cut of 3 to 4 per cent from 2011 onwards.

However, he adds: “Cuts of 3 per cent are at the most optimistic end of plausible spending scenarios.

“It is unlikely that cuts will be averaged out across all departments with certain sectors lower down the list of Conservative priorities expected to make greater savings.

“Cuts of 5 per cent, 10 per cent or even higher might not be out of the question and would signify hundreds of millions, if not a billion or more, being withdrawn from the third sector from an annual budget which currently stands at roughly £11bn.”

The report also argues that charities should prepare for “a more market-orientated, private sector-friendly third sector” and expresses concerns over a lack of detail around proposals for outcome-based funding.

During the summer, Papasolomontos worked four and a half days a week for CFDG and half a day for Oaten. His pay from Oaten was reduced on pro-rata basis to cover the half day, with CFDG paying him a wage for the rest of the week.

In addition to recruiting Oaten as a trustee this year, LibDem shadow chancellor Dr Vince Cable MP was lead speaker at the body’s annual fundraising dinner last year.

CFDG intends to distribute the full report to its members once a foreword has been added to put the work into context.

Document ‘within the rules’

CFDG chief executive Keith Hickey denied the organisation had done anything wrong.  He told Charity News Alert: “The document that we are preparing is a briefing note which is within the delivery of our charitable purposes and so within the rules as outlined in the Charity Commission briefing CC9.

“The document neither concludes what is right nor what is wrong with Conservative policy but reviews publicly-available information from the Conservative Party and looks at the implications of those policies for the sector and the areas that our members should be aware of.

“CFDG advises its members on policy matters and clearly the implications of a potential change in government will have significant impacts on our members in their roles.”

He added: “The researcher was paid by CFDG as an employee and was subject to our normal employment policies and constraints. He was appropriately qualified, familiar with the scene and had a background in parliamentary research so was well qualified for this role.

“His personal political views are a private matter as for any employee.”

The Charity Commission is currently still considering Charity News Alert's questions about the propriety of CFDG's actions.

Defence think-tank censured by Commission

Separately, the Charity Commission has ruled that another charity, RUSI (Royal United Services Institute for Defence and Security Studies), inadvertently gave support to the LibDems by undertaking a research project on behalf of Sir Menzies Campbell MP in return for a donation.

The research was used by Campbell when writing a party political paper for the party, No Choice but Change, last year.

The Commission felt that the charity had acted in a way which could call into question the charity’s independence from party politics, and that it was also unclear whether it had acted in the public benefit as the paper was not made publicly available.

As a result of the Commission’s intervention, RUSI has amended its internal policies and staff interaction with politicians and political parties.

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