PM calls for independent probe into Gething donation

Rishi Sunak made his comments in the Commons on Wednesday

The prime minister is backing calls for an independent investigation into Vaughan Gething's Welsh Labour leadership campaign donations.

The first minister accepted £200,000 for his leadership campaign from recycling firm Dauson Environmental Group, which is owned by a man who has been prosecuted for illegally dumping waste.

Rishi Sunak said the situation is "not at all transparent and answers are needed".

Mr Gething has said he always followed the rules and has refused to hand the money back.

Meanwhile Vaughan Gething's former rival Jeremy Miles has asked a Welsh government-owned bank to reflect on its due diligence, amid controversy over a £400,000 loan to a Dauson subsidiary.

Senedd members voted on the donations issue on Wednesday afternoon, as a former Labour minister called on Mr Gething to hand the donations back.

Mr Gething played down public concern about the donations in the Senedd on Tuesday.

The Welsh Conservatives are critical of Mr Gething receiving the donation from a company that has a subsidiary which has taken a £400,000 loan from the Development Bank of Wales (DBW).

Mr Gething has insisted throughout that he cannot and will not take any decision related to Dauson Environmental Group. DBW has said it is independent of minsters.

The company is owned by David John Neal who was given a suspended sentence in 2013 for illegally dumping waste, and one in 2017 for not clearing it up.

One of Dauson Environmental Group's businesses is a landfill site in Pembrokeshire which is the subject of an ongoing row about its smell.

On Tuesday Natural Resources Wales said there were "several serious permit breaches" and "poor management" at Withyhedge in Pembrokeshire.

In Prime Minister's Questions on Wednesday, Conservative MP Stephen Crabb, whose constituency covers the site, said: "For six months, thousands of my constituents have lived with foul-polluted air from the Withyhedge landfill site."

Raising the donation and the DBW loan, he said: "Does the prime minister agree with me that this serious matter demands an independent investigation? It is not some internal Labour Party matter and, ultimately, that company needs to get out of my constituency so that the people of Pembrokeshire can have their quality of life back.”

Mr Sunak replied saying Mr Crabb "brings up an incredibly important issue and I know that people in Wales are concerned about the relationship he mentions".

He added: "I also agree with him on the need for transparency and an investigation regarding the Welsh Labour leader because it is very clear that the situation is not at all transparent and answers are needed."

Vaughan Gething won the Welsh Labour leadership contest last month

'Diligence'

Jeremy Miles told the Commons' Welsh Affairs Select Committee that he would ask DBW "to reflect on whether any recent experience causes them to look again at their diligence processes", amid the row over the loan to Dauson.

The £400,000 was given to Neal Soil Suppliers for the purpose of buying a solar farm.

The economy minister is responsible for DBW, although the organisation is effectively run independently of government ministers.

Stephen Crabb, chair of the committee, asked if "the case of a company receiving loans from the Development Bank of Wales, owned by somebody who has criminal convictions for environmental offences, do you think that would have been a case that should have raised red flags around reputational concerns and therefore been communicated to the minister’s office?"

Mr Miles said there was a "good reason why decisions are made at arm’s length from ministers".

He added: "What I have asked, in discussions with the Development Bank, is for them to reflect on whether any recent experience causes them to look again at their diligence processes but those are matters for the Bank to consider and they are, properly, matters which are at arm’s length from the government.”

Senedd vote

The Conservatives and Plaid Cymru will force two sets of votes on Wednesday afternoon on the Vaughan Gething donations - calling for an independent investigation and a cap on donations respectively.

Labour - which has exactly half of the Senedd's 60 politicians - has enough votes to win with opposition MS Rhys ab Owen currently suspended, and should win the votes.

The Welsh government is asking Labour MSs to vote down the motions from the two parties.

They would not be binding on Vaughan Gething if the votes were to pass, but it would be embarrassing for his government if they somehow did.

Despite criticism of the donation among some in the Labour group, sources told BBC Wales they expected party members to follow a whip as normal, where MSs are instructed how to vote by their party.

The Welsh Conservatives have tabled a motion recognising "public concern regarding a potential breach of the Welsh government's ministerial code", and have called for an independent advisor to investigate any conflict of interest.

Welsh Conservative Senedd leader Andrew RT Davies said: “Vaughan Gething’s government has stalled before it could get going, with a senior minister openly questioning his judgement, all while our public services suffer."

Economy Minister and Mr Gething's rival for the Welsh Labour leadership, Jeremy Miles, has said he would not have accepted the money.

Plaid Cymru, meanwhile, have tabled a motion calling for a cap on donations, to be implemented by the Senedd.

It says the donation "does not meet with public approval".

Former first minister Carwyn Jones has promised that a review of future Welsh Labour leadership rules will look at a cap on donations.

Rhun ap Iorwerth, Plaid Cymru leader, said: “If he is to have any chance of restoring the Welsh public’s trust, the first minister must urgently rethink his refusal to commission an independent inquiry and commit to supporting Plaid Cymru’s calls for a cap on individual donations.”

Labour amendments to both motions would delete the concerns from the Conservatives and Plaid Cymru if they were backed by Senedd members.

What has Vaughan Gething said?

Last Friday Mr Gething said there were no "legitmate" questions about his integrity over the donations.

Mr Gething maintains the donation of £200,000 was properly declared and within the rules.

He promised the committee there would be no "watering down" and no "shift or downward turn" in his government's commitment to raising environmental standards.

Director of Dauson Environmental Group, David Neal, said: “As a Welsh company, the Dauson Environmental Group has a wide number of operations and assets and is committed to investing in the future of Wales, as well as the Welsh supply chain.

“We supported Vaughan Gething’s campaign as we felt that he was the best person for the job.

“Dauson Environmental Group has not engaged with Vaughan Gething or his ministerial department regarding any of our business plans or applications and would not expect him to have any involvement in these decisions anyway.”