Ex-FM Carwyn Jones accused of breaching ministerial code

Carwyn Jones was warned against involvement with a steel and energy group

Former first minister Carwyn Jones has been accused of breaking the rules that regulate ex-ministers taking up new jobs.

Mr Jones has been appointed as a global advisory board member of GFG Alliance, which includes Liberty Steel.

A UK government body, which warned him against advising GFG on steel, accused Mr Jones of breaching the ministerial code.

The Bridgend Senedd member said he has not done "anything wrong".

Mr Jones' appointment came about because of his employment by the international energy firm SIMEC - one of the energy and steel group's companies.

In the summer the Advisory Committee on Business Appointments (ACOBA) warned Mr Jones against advising GFG Alliance on steel or energy projects in Wales for two years from the date he stood down as first minister - which was in December 2018.

It raised concerns about Mr Jones' previous involvement with the steel industry and how that could help GFG.

Sanjeev Gupta, chief executive of GFG, owns Liberty Steel, which took over a steelworks in Newport, and had tried to buy Tata Steel's plant in Port Talbot a few years ago.

During his time as first minister, Mr Jones was heavily involved in the steel crisis of 2016.

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Mr Jones, whose role was announced in the autumn, told the ACOBA his "position on the GFG Board is purely as an advisor to SIMEC".

He said he "will not attend meetings where there is any agenda item that goes outside the committee's advice nor will I take part in any discussion that goes outside the committee's advice".

The former first minister said he intends to play "a full part" in GFG Alliance from 12 December - just over two years since he left the Welsh Government.

Liberty Steel owns a steel plant in Newport

What is ACOBA?

In an attempt to avoid any conflict of interest, former ministers are required to apply for advice from ACOBA within two years of leaving office.

Earlier in 2020 Mr Jones sought advice from ACOBA on taking up role as an energy adviser with SIMEC.

In August, ACOBA said the length of time since he had left office and the requirement to meet certain conditions "appropriately mitigate the risks you may offer an unfair advantage with regard to your insight".

But the advice did note that the former first minister "would have had access to information that could benefit GFG", as he "had significant involvement in the steel industry, including meetings with Liberty Steel and its competitors Tata and Celsa".

It added: "In particular, though it has been some time since you left office in December 2018, the Welsh Government confirmed you have access to potentially highly sensitive commercial information".

'Contrary to advice'

ACOBA said there "are risks associated with your insights into the steel industry" but noted that Mr Jones described his role "as being limited to providing advice to SIMEC on energy issues... you will have no involvement in working in the steel industry when advising SIMEC".

But in a letter sent on 16 October ACOBA Chair Lord Pickles said he was "concerned" to learn of Mr Jones' membership of GFG Alliance's board, announced three days earlier.

Lord Pickles said it "does not, on the face of it, appear to limit the advice you provide to just SIMEC".

Despite Mr Jones' insistence he is employed by SIMEC and has taken steps to ensure he will be "recused from matters related to steel", the committee concluded on 6 November that Mr Jones' role with GFG Alliance "is contrary to its advice", resulting in a breach of the ministerial code.

Despite the comments Mr Jones does not face a sanction although the Welsh Government's ministerial code - the rules of behaviour ministers are expected to follow - says politicians should abide by ACOBA's judgements.

Sanjeev Gupta is chief executive officer and chairman of GFG Alliance

What has Carwyn Jones said?

In a report published in the Western Mail, Carwyn Jones said: "I followed the advice that this committee gave and was very surprised to receive this letter from Eric Pickles. I would rather that they had just said no in the start.

"The process has no rules, no right to a hearing, no appeal and no complaints process.

"I will leave people to judge whether this is a fair and transparent process.

"Let's remember that Boris Johnson didn't even bother to ask for advice in 2018 when he took up a very well-paid job with the Telegraph."

Mr Jones also told BBC Wales: "The process has been so secretive that I've been forced to issue several freedom of information requests to get information."

Since standing down as first minister, Mr Jones has listed on his register of interests that he has taken paid work as a law professor at Aberystwyth University, advisor to Spectrum Internet, and consultant to media company Business News Wales.

He has been the Labour representative for Bridgend in the Senedd since 1999 but will stand down from the role at the next election in 2021.

A Welsh Government spokesman said: "We have received correspondence from ACOBA and will respond in due course."