Audit Commission refutes lobbying ‘abuse’ claims

1 Feb 10
The Audit Commission has hit back following revelations that it used taxpayers’ money to pay for research from a lobby group with links to the Labour Party
By David Williams

1 February 2010
 
The Audit Commission has hit back following revelations that it used taxpayers’ money to pay for research from a lobby group with links to the Labour Party.

Steve Bundred, the outgoing chief executive of the local government regulator, is today writing to the editor of The Sunday Times newspaper, which leaked details of a report commissioned by the watchdog. Bundred will ask the paper to correct ‘a set of errors’ reported in yesterday’s edition.

He will also be contacting Conservative frontbenchers to strongly deny ‘statements to the effect that the commission had paid to lobby them or any other politician’.

Over 2009 the watchdog spent £55,616 on Connect Public Affairs, which offers ‘bespoke political monitoring’ to a range of public sector bodies, unions and interest groups. The firm was founded by Rosie Winterton, now a Labour local government minister.

Among Connect’s previous public sector clients are Exeter City Council, the Financial Services Authority, the London boroughs of Newham, Havering and Camden and Lincolnshire Police Authority.

The Sunday Times reported that one study included recommendations to ‘combat the activities of Eric Pickles’. The Conservative Party chair has pledged to do away with the commission’s Comprehensive Area Assessment inspection regime.

The regulator has since stated that the study was intended to ‘help staff better understand expectations of the CAA’.

A spokeswoman said the report was commissioned by its communications staff, and had not been seen by senior managers or board members.

‘Comments in the report are those of the authors alone,’ she said.

But Caroline Spelman, the shadow communities and local government secretary, said it was ‘a complete abuse of taxpayers’ money by a body which is supposed to be standing up for taxpayers’ interests’.

She added: ‘We can no longer have confidence in the Audit Commission if it has become such a creature of the state that it bankrolls lobbyists to save its own skin and call for more red tape.’

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