Barnsley MP Michael Dugher was chosen to be Ed’s PPS for a reason. It quickly became clear Chuka Umunna was way out of his depth in the role, so who better to replace him than a man who knows the party inside out and has worked in Downing Street, the MoD and various other government departments? However it’s not just Ed who has spotted Dugher’s talents in the past…
Though he ended up as Gordon’s Moussa Ibrahim at the end of the last government, between his days as Geoff Hoon’s Special Adviser at the MoD (2002-’05) and becoming Gordon’s last spinner in October 2008, Dugher took time out in the private sector, becoming Head of UK Public Affairs for global data giants EDS. He left the MoD just before the 2005 election and went to EDS in 2006, via a role in the Leaders of the House’s office overseeing Privy Council matters.
When Dugher took the role of EDS’s top UK lobbyist, the company said he bought a ‘wealth of experience from his under-standing of the parliamentary process’. However that’s not all he had to offer. A rather interesting FoI shows that EDS’s public affairs team, headed up by Dugher, lobbied MoD officials and Ministers some thirty-three times between 2006 and 2007. Crucially Dugher was meeting with Lord Drayson, who was in charge of procurement of equipment and support.
The relationship built up between the MoD and EDS paid off handsomely for the latter. In government Labour paid EDS a total of £4.2 billion for IT during their years in government. Including £2.3 billion for the troubled Defence Information Infrastructure contract which was signed when Dugher was still Hoon’s SpAd. The MoD paid EDS a further £570 million during the period Dugher worked for them. All very cosy.
Surely there are rules against this sort of thing, Guido hears you ask. Well yes there are:
‘Under the terms of their contract, special advisers are required to submit an application to the head of their former Department for any new appointment or employment they wish to take up during the two year period after their last day of paid service.”
Guido spoke to Dugher last night who claimed that the move was cleared by the Cabinet Office. However this clearance was only in relation to his last role working for the Leader of the House/Privy Council. Dugher says that the both the Cabinet Office and EDS were well aware of the move and possible conflicts of interest. However, the MoD tell Guido:
“We do not hold any data to confirm that Mr Michael Dugher has submitted an application to the MoD under “The Business Appointment Rules for Civil Servants” for permission to seek an appointment with EDS as a lobbyist. The requirement for Michael Dugher to notify the department of his intention to commence employment with EDS under Business Appointment Rules only applies for two years after his last day in service and therefore this requirement ceased from 2007’
Though he cleared it with the Cabinet Office, Dugher was back lobbying the MoD within two years of leaving as a SpAd, which doesn’t look so good. This is often the way with the giant revolving door of government and Guido only raises this all for one particular reason. Dugher is currently in charge of Labour’s own long-overdue defence procurement review. We all know how badly Labour’s spending on MoD contracts went. Dugher certainly has some inside knowledge of what went wrong…