THE ASHCROFT AFFAIR - BLAIR CHALLENGES HAGUE TO REFER CASE TO WATCHDOG

TONY BLAIR yesterday challenged the Conservatives to refer the Ashcroft
affair to the Neill Committee on Standards in Public Life. Mr Blair was
asked by a Conservative MP in the Commons to condemn the behaviour of Peter
Bradley in using parliamentary privilege to attack the Tory treasurer.

Mr Blair replied: "The Conservative Party can refer this entire case to the
Neill Committee. Why don't they do so?"

Mr Blair had earlier confirmed to MPs that a draft Bill regulating the
funding of political parties will be brought before Parliament next week.
It will require parties to declare donations of more than pounds 5,000,
prohibit foreign donations, put a pounds 20 million limit on campaign
expenditure during elections, require prior approval by shareholders of
donations from companies, and establish an election commission to supervise
the conduct of elections and the accounts of political parties.

The proposals would not affect Mr Ashcroft's right to make donations to the
Tories. Sylvia Heal, Labour MP for Halesowen & Rowley Regis, had asked if
the Bill would include safeguards to address "the very understandable
public concern about the funding of a major political party by a UN
ambassador to a foreign country".

Mr Hague said in Question Time exchanges: "After Formula One and
foxhunting, there is only one party where a large donation is followed by a
change in policy."

There was confusion later over Mr Blair's suggestion of a reference to the
Neill Committee. After the row over the donation by Bernie Eccleston, which
Lord Neill suggested should be paid back, the Neill committee decided
against dealing with specific cases.

Dennis Skinner, Labour MP for Bolsover, caused uproar when he said: "The
Tory Opposition are receiving a million pounds a year from one of the
biggest drug-runners in the West. Isn't it high time that the Leader of the
Opposition had the guts to get rid of him?"