PM under fire for not aiding institute inquiry Gordon Brown came under fire for refusing to co-operate with a regulatory inquiry into a think-tank, which was yesterday criticised for failing to maintain the political neutrality required by its charitable status.
The prime minister failed to respond to letters from the Charity Commission concerning its official probe into allegations that the Smith Institute was a vehicle for Labour policy, the regulator's report revealed yesterday.
The commission cleared Mr Brown of using the think-tank to further his political aspirations, and stated it had "no regulatory concerns" about the institute's former employment of Ed Balls, his close ally.
But the regulator criticised the trustees for leaving it "vulnerable to the perception that it was involved in party politics", by failing to "adequately manage" the risks to its independence and reputation.
"When the timing and content of some of the institute's activities is examined, the commission can see how the perception arose that . . . the institute was focusing on or connected to the then chancellor and his political aspirations," the report stated.
It warned that the think-tank's extensive use of the chancellor's official residence at 11 Downing Street for events "may have linked in the minds of the public the institute with the Labour party" and "compromised the perception of the institute's political neutrality".
The Tories attacked the prime minister's "shocking" failure to respond to the commission's correspondence. "The report confirms what has long been suspected - that the Smith Institute was umbilically linked with Gordon Brown and the Labour party," Greg Clark, the shadow charities minister, said.
But the institute said it had been vindicated on the serious allegations made by the Tories and rightwing media. "We've been found not guilty on all the substantial charges," Paul Myners, its deputy chairman, told the FT. "We're guilty of failing to be absolutely tip-top in certain processes."
The commission ordered the institute to implement a governance review and report back in six months. But the think-tank rejected a core recommendation. "The trustees fundamentally disagree with the requirement that all speakers at institute events, including politicians, should ensure their remarks are politically neutral," it said. "This has profound implications for all UK think-tanks."
http://www.ft.com/cms/s/0/d6272e60-552b-11dd-ae9c-000077b07658.html?nclick_check=1
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