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by Munro Research

Ministerial Interests (Emergency Powers) Bill


Official Summary

A Bill to require a Minister to make an oral statement to Parliament if a contract is awarded under emergency statutory powers to a person in whom, or a company in which, a Minister has a personal, political or financial interest.

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Overview

This bill mandates that Ministers make a statement to Parliament if a government contract, awarded under emergency powers, benefits someone with whom the Minister has a personal, political, or financial interest. This aims to increase transparency and accountability in government contracting.

Description

The bill focuses on contracts awarded under Regulation 32(2)(c) of the Public Contracts Regulations 2015 – emergency situations requiring immediate action. If a Minister holds a personal, political, or financial interest (as defined in the bill, including interests declared under the Ministerial Code or Register of Members' Financial Interests, or those that might reasonably cause a conflict of interest), in a company or individual benefiting from such a contract, they must make an oral statement to both Houses of Parliament as soon as possible. A “relevant Minister” is defined as the Minister in the relevant department, or in the case of a non-departmental public body, the Minister responsible for that body. The bill does not prevent Ministers from proactively making statements about potential conflicts of interest before contracts are awarded.

Government Spending

The bill is not expected to have a significant direct impact on government spending. The costs would likely be administrative, relating to the time spent preparing and delivering statements to Parliament.

Groups Affected

  • Ministers: They will be directly affected by the requirement to make statements to Parliament if they have a conflict of interest related to emergency contracts.
  • Parliament: Parliamentarians will gain access to more information regarding government contracts and the potential for conflicts of interest.
  • The Public: Increased transparency could lead to greater public trust and accountability.
  • Businesses: Businesses involved in government contracting, particularly those awarded contracts under emergency powers, may face increased scrutiny.
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