An investigation has been launched into the IEA after pro-Brexit lobby scandal

Left Foot Forward Right-Wing Watch

The the Charity Commission has now opened a case on the Institute of Economic Affairs following revelations that it had promised to grant American lobbies access to pro-Brexit ministers.

An investigation by Greenpeace together with the Guardian, revealed today how right-wing think tank Institute for Economic Affairs (IEA) had been touting “cash for access” deals to potential funders, promising to link then up with senior Conservative ministers. 

Opposition parties swiftly demanded an investigation into the infamous think tank, as it is alleged it helped inject thousands of pounds into pro-Brexit campaigning.

A Charity Commission spokeswoman confirmed an investigation was underway, telling Left Foot Forward:

“We have been assessing concerns about the Institute of Economic Affairs in recent weeks and can confirm we have an open regulatory compliance case into the charity. Educational charities can play an important role in informing the public. The law is clear however that they must do so in a balanced and neutral way. There are clear rules for charities regarding political activity that form a key part of both charity law and public expectations.

“The allegations reported today are of a serious nature. We have now received evidence from Greenpeace which will be assessed carefully in line with our usual processes and considered as part of our ongoing case.”

IEA director general, Mark Littlewood, was caught with his hand in the cookie-jar, telling an undercover journalist how the group was in “the Brexit influencing game”. He then went on to list a series of former and current Cabinet members the infamous think tank had access to. Hardcore Brexiteer backbenchers including former foreign secretary Boris Johnson, former Brexit secretary David Davis, as well as Cabinet members, the International Trade Secretary Liam Fox and the Environment Secretary Michael Gove were among those listed.

In comes US agrobusiness magnate Tucker Link, who is eyeing up business opportunities in post-Brexit Britain. Trade deals with the US could see until now banned American beef imported into Britain. Link is no other than one of the biggest beef producers in the US.

Sums of up to $400,000 (£305,000) would be raised by E Foundation – a group representing Oklahoma businesses including Link – to be “ship over to the UK” for Brexit campaigns, including the IEA. The IEA, of course, being the middle man between American corporations, particularly the Oklahoma agro-lobby, looking for a free trade deal, and the British government.

Labour and other opposition parties requested that the Charity Commission investigates the IEA, and considers removing its charity status after such alleged breaches in democratic accountability and failing to obey the law.

A letter by Labour’s shadow minister for the Cabinet Office, Jon Trickett, argued that the IEA’s political independence was now in question, and requested the Commission conduced a “full and proper investigation.”

Following the letter, Trickett added: 

“When big money uses underhand ways to influence political decisions it’s difficult to avoid the conclusion that democracy is being severely undermined. The system is clearly not working if a registered charity, supposedly prohibited in law from having a political purpose, uses foreign money to lobby politicians to support its extreme political agenda.

“It is deeply worrying that senior Conservative politicians appear willing to engage in unaccountable backroom discussions on issues that are critical to the British people.”

The Green Party has also come out in support of the investigation, labelling the revelations “deeply concerning”.

Green Party co-leader Jonathan Bartley told Left Foot Forward:

“The allegations against the IEA are extremely concerning and we would welcome an investigation by the Charity Commission.”

Best for Britain champion David Lammy MP said:

“Brexit has never been about taking back control. It’s about handing control to billionaires, who want to deregulate our country until we’re all eating chlorinated chicken.

“The IEA has been exposed as little more than a grubby political lobbying firm, which organises ludicrous spin operations for the hard right of the Tory Party. Why they still have charitable status is unfathomable.”

“No apologies” and a case opened

The IEA has made “no apologies” for the revelations, with Littlewood arguing the “IEA is an educational charity which seeks to improve the understanding of free markets across policy-makers, politicians and the wider public.”

Mark Littlewood also added:

“Donors are unable to influence the results and conclusions of our research, which are controlled entirely by our research team, but we greatly welcome their funding, without which we would be unable operate.

“We also make no apologies for seeking to inform and educate politicians at the highest levels of government.”

However, the Charity Commission has since opened a regulatory compliance case against the IEA, after a spokeswoman conformed the watchdog was “assessing concerns about the Institute of Economic Affairs in recent weeks and can confirm we have an open regulatory compliance case into the charity.”

Joana Ramiro is a reporter for Left Foot Forward. You can follow her on Twitter for all sorts of rants here. 

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One Response to “An investigation has been launched into the IEA after pro-Brexit lobby scandal”

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    […] The charity commission did investigate and described the allegations as “serious”. […]

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