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Minister for External Relations - Council of Ministers - Ministerial Response - 27 June 2013

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STATES OF JERSEY

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MINISTER FOR EXTERNAL RELATIONS (S.R.9/2013) – RESPONSE OF THE COUNCIL OF MINISTERS

Presented to the States on 27th June 2013 by the Council of Ministers

STATES GREFFE

2013   Price code: B  S.R.9 Res.

MINISTER FOR EXTERNAL RELATIONS (S.R.9/2013) – RESPONSE OF THE COUNCIL OF MINISTERS

Ministerial Response to:  S.R.9/2013

Review title:  Minister for External Relations Scrutiny Panel:  Corporate Services

INTRODUCTION

We are grateful to Scrutiny for conducting this review, which has been considered carefully by the Council of Ministers. The Panel suggests a brief pause while the Assembly considers broader changes arising from the referendum. This needs to be balanced by the need, now more than ever, to do all that we can to protect and promote Jersey's interests abroad. The future structure of the States Assembly is an important issue, but so is the ability to be as effective as possible overseas in order to help safeguard the future economic prosperity of islanders. The Council of Ministers has considered  the  appropriate  balance  between  these  two  important  objectives  in considering the Panel's recommendations.

FINDINGS

 

 

Findings

Comments

1

The  Chief  Minister  is  politically responsible  for  external  relations although other Ministers are involved, particularly the Ministers for Treasury and  Resources  and  for  Economic Development.

Agreed.

2

External  relations  are  undertaken  in accordance with the common policy of the Council of Ministers. In November 2012, the current Council became the first  to  publish  a  discrete  policy  on external relations. The States of Jersey Law 2005 places no obligation on the Council to lodge its common policy for debate by the States Assembly.

Agreed.

3

The  establishment  of  the  Financial Services  and  External  Relations Advisory Group (FERAG) in 2011 as a means  of  ensuring  co-ordinated development and delivery of policy is to  be  welcomed.  There  needs  to  be requisite  transparency  regarding FERAG's work.

The  Financial  Services  and  External Relations  Advisory  Group  (FERAG) was  constituted  by  the  Council  of Ministers  in  October  2012.  This  is consistent  with  the  recommendation within  the  Machinery  of  Government Review Sub-Committee: Interim Report April 2013 (R.39/2013) that: "Advisory

 

 

Findings

Comments

 

 

or oversight groups that are intended to progress the development or revision of policy falling within the remit of 2 or more  Ministers  should  be  constituted by the Council of Ministers."

4

The   Bailiff  and  His  Excellency  the Lieutenant Governor have no political responsibility  in  respect  of  external relations  but  work  closely  with  the Chief  Minister  in  receiving  an increasing  number  of  distinguished visitors to the Island. The Bailiff can also  offer  constitutional  advice  to Ministers whilst His Excellency deals with  Crown  appointments  and  is  a point of contact between the Island's authorities and the UK Government.

Agreed.

5

The  Island's  external  relations  are undertaken  within  the  context  of  its constitutional  position  as  a  Crown Dependency. Jersey is not recognised internationally as a sovereign State but as  a  territory  for  which  the  UK  is responsible.  However,  the  UK Government  has  recognised  that  the Island  has  an  international  identity which is different from that of the UK and  has  supported  the  use  of entrustments as a means by which the Island might represent its own interests on the international stage.

Agreed.

6

The  Minister  for  External  Relations would be subject to the provisions of the States of Jersey Law 2005 and the Standing Orders of the States of Jersey like any other Minister. The Minister would  be  a  corporation  sole  under Article 26 of the Law.

Agreed.

7

A number of reasons have been given for establishing a Minister for External Relations:  (i)  it  is  the  international norm for external relations to be shared by  the  head  of  government'  and  a minister  for  external  relations;  (ii)  it would  improve  accountability  to  the Council  of  Ministers,  the  States Assembly  and  provide  clarity  for islanders;  (iii)  it  would  enhance

Agreed.

 

 

Findings

Comments

 

delivery  of  the  common  policy  for external relations; (iv) it would help to co-ordinate  assistance  for  other Ministers  with  a  significant international aspect to their portfolios; and  (v)  it  would  offer  other jurisdictions  a  single,  recognisable representative at Ministerial level.

 

8

Recent  years  have  seen  significant developments in Jersey's international identity  and  there  is  a  need  for  the Island  to  be  well-represented externally.

Agreed.

9

Given  FERAG  was  created  to  co- ordinate the Island's external relations, it is difficult to see how the creation of a Minister for External Relations would in itself enhance current co-ordination and delivery of policy.

The reasons for the establishment of a Minister  for  External  Relations,  are noted in the Panel's finding number 7, above, namely: (i) it is the international norm for external relations to be shared by  the  head  of  government'  and  a minister  for  external  relations;  (ii)  it would  improve  accountability  to  the Council  of  Ministers,  the  States Assembly  and  provide  clarity  for islanders;  (iii)  it  would  enhance delivery  of  the  common  policy  for external relations; (iv) it would help to co-ordinate  assistance  for  other Ministers  with  a  significant international aspect to their portfolios; and  (v)  it  would  offer  other jurisdictions  a  single,  recognisable representative  at  Ministerial  level. FERAG has a role to play, but cannot deliver all 5 of these improvements.

10

The  other  Crown  Dependencies  have yet  to  create  a  Minister  for  External Relations.

Agreed.

11

We  were  informed  that  an  Assistant Minister did not have sufficient status to  undertake  external  relations effectively  on  behalf  of  the  Island. However,  the  Island  is  already represented  externally  by  the  Chief Minister  and  other  Ministers  and  the immediate need for a new Minister is not therefore apparent.

The Chief Minister cannot be available on  all  the  occasions  when  a  foreign minister with the necessary ministerial status is required to represent the best interest of the Island. Only if the Chief Minister  is  not  expected  to  have significant  domestic  responsibilities could he or she devote the necessary time  to  external  relations.  The establishment  of  a  Minister  for External  Relations  is  therefore

 

 

Findings

Comments

 

 

necessary.

12

The  budget  underpinning  the International  Affairs  Section  of  the Chief  Minister's  Department  has grown  from  £393,765  in  2008  to £920,700 in 2013 and will grow further to £1,699,600 in 2015. Meanwhile, the size  of  the  Section  has  grown  from 2 FTE to 6 FTE and is due to increase to 7 FTE. This budget does not include resources  which  other  departments, both  ministerial  and  non-ministerial, may devote to the work on the Island's external relations.

As  agreed  by  the  States  Assembly within Business Plan 2008 (P.93/2007), Business  Plan  2009  (P.113/2008), Business  Plan  2010  (P.179/2009), Business  Plan  2011  (P.99/2010), Business Plan 2012 (P.123/2011) and Medium  Term  Financial  Plan  2013- 2015 (P.69/2012).

13

The  Panel  was  informed  that  the establishment  of  a  Minister  for External Relations is not connected to a decision  about  Jersey  seeking independence from the UK.

Agreed.

14

Jersey's external relations are a growth area. There would not appear to be any guarantee  that  further  resources  will not  be  requested  for  the  subsequent MTFP period of 2016 to 2018.

The  Chief  Minister  and  Council  of Ministers  are  not  able  to  bind  their successors in this or other policy areas and future governments could propose to the States Assembly either increases or decreases in resources according to their  priorities.  MTFP  2016  to  2018 would need to be agreed by the States Assembly.

15

When considering the appointment of new Ministers, consideration needs to be  given  not  only  to  the  resource requirements  of  Ministerial Departments,  but  also  to  any consequential impact on other areas of public administration.

Agreed. However, undertaking such a consideration  should  be  proportionate and  where  the  resource  requirements are not likely to be significant in the context of overall resource allocations, these should be captured within a light touch approach.

16

Although  the  Panel  was  advised  that the creation of a Minister for External Relations  would  not  lead  to  any changes in the current undertaking of external  relations,  the  Panel  remains concerned that the creation of a new Minister  could  impact  upon  the Bailiff 's role.

The Panel's concern is not consistent with  the  evidence  provided  by  the Bailiff . The Bailiff wrote to the Panel on 7th May 2013 regarding this matter and stated quite clearly that: "I do not see that the appointment of a Minister for External Relations would have any impact on the Bailiff 's role. His advice might  in  future  be  tendered  to  that Minister  rather  than  to  the  Chief Minister but otherwise the position so far as the Bailiff is concerned would

 

 

Findings

Comments

 

 

seem to be unaltered."

17

The  Regulations,  if  approved,  would not  simply  apply  to  how  this  Chief Minister and his Minister for External Relations  but  to  all  future  Chief Ministers  and  Ministers  for  External Relations. Future Chief Ministers may wish  to  take  sole  responsibility  for external relations. Although it has been suggested  that  accountability  for external relations might be improved as the new Minister would be subjected to Scrutiny  and  questions  in  the  States Assembly, the fact that responsibility would  be  shared  between  the  new Minister and the Chief Minister could in fact blur the lines of accountability.

The  Chief  Minister  can  lodge  draft Regulations to propose the abolition of any  Ministerial  office  using  the provisions  that  already  exist  in  the States of Jersey Law 2005. Therefore, if  a  future  Chief  Minister  wished  to devote  his  or  her  time  to  external relations rather than domestic matters, then  they  could  lodge  the  necessary draft  Regulations  to  abolish  the Minister for External Relations.

Accountability  would  be  improved. There  would  be  enhanced accountability  to  the  Council  of Ministers,  improved  accountability  to the  States  Assembly  and,  most importantly,  additional  clarity  for islanders in holding their Government to account in the increasingly important area of UK and international relations. The  international  norm  for  foreign affairs  to  be  the  concurrent responsibility  of  the  Head  of Government  (Chief  Minister)  and Minister for Foreign Affairs (Minister for  External  Relations)  is  met  by hundreds  of  governments  worldwide who  are  successfully  held  to  account by  their  respective  cabinets, parliaments and citizens.

18

Creating  a  new  Minister  could compound  current  problems  with Ministerial Government as, unless and until  these  matters  are  addressed,  it would  merely  establish  another Minister as corporation sole over which the  Chief  Minister  has  limited influence.

The Machinery of Government Review Sub-Committee:  Interim  Report April 2013  (R.39/2013)  recommended that: "PPC should lodge au Greffe' an amendment  to  the  States  of  Jersey Law 2005  that,  if  adopted,  would empower the Chief Minister to dismiss a Minister."

In  consultation  with  the  Council  of Ministers,  the  Chief  Minister  has confirmed  that  he  is  content  for  the Privileges  and  Procedures  Committee (PPC) to proceed with the lodging of such  an  amendment  to  the  States  of Jersey Law 2005, which will reflect the recommendation of Sir Cecil Clothier's Report  of  the  Review  Panel  on  the Machinery  of  Government  in  Jersey,

 

 

Findings

Comments

 

 

published  in  December  2000,  which recommended  the  "Chief  Minister  to have the power to dismiss Ministers".

19

The Council of Ministers has agreed to pursue the creation of a new Minister notwithstanding work being undertaken elsewhere  on  the  composition  of  the States Assembly and the Machinery of Government. Reducing the size of the Assembly  would  undoubtedly  impact upon  the  Machinery  of  Government, the  number  of  Ministers  and  the specified  portfolios  those  Ministers should hold. As PPC has indicated, this raises the question of whether this is the right time to seek the appointment of  a  new  Minister  when  more  wide- reaching discussions about the size of the  Assembly  and  the  Machinery  of Government are already expected.

See response to Recommendation 5.

RECOMMENDATIONS

 

 

Recommendations

To

Accept/ Reject

Comments

Date of

Action/ Completion

1

The  Chief  Minister  should bring forward an amendment to the States of Jersey Law 2005 to  oblige  future  Councils  of Ministers  to  lodge  their common  policy  on  external relations  for  debate  by  the States  Assembly  within  four months of their appointment.

CM

Reject

Whilst the case for an amendment to the law has not been made sufficiently strongly at this stage, the Chief Minister will request that the Minister for External Relations considers how best to provide an opportunity for the Assembly to consider the external relations policy of the Council of Ministers.

One year following the appointment of a Minister for External Relations.

2

The  Chief  Minister  should ensure that a report is presented annually to the Assembly on the work  undertaken  on  external relations.

CM

Accept

The Chief Minister will request that the Minister for External Relations presents an annual report to the Assembly on the

One year following the appointment of a Minister for External Relations.

 

 

Recommendations

To

Accept/ Reject

Comments

Date of

Action/ Completion

 

 

 

 

work undertaken by the Chief Minister and Minister for External Relations with regards to the conduct of external relations.

 

3

The  Chief  Minister  should implement  an  audit  of  all  the resources  devoted  to  the Island's  external  relations  in order that the true costs of that function  may  be  better understood.

CM

Accept

The Chief Minister will request that the Minister for External Relations undertakes an assessment of the relevant resources in both ministerial and non-ministerial departments and includes the results within the first annual report to the Assembly on the work undertaken by the Chief Minister and Minister for External Relations with regards to the conduct of external relations.

One year following the appointment of a Minister for External Relations.

4

Prior to the debate on the draft Regulations, the Chief Minister should  ensure  that  the  States Assembly is provided with an Impact  Assessment  of establishing  a  Minister  for External Relations.

CM

Reject

Impact Assessments are appropriate for regulatory interventions that affect the private sector, civil society organisations and public services. An Impact Assessment is not appropriate where changes to public administration costs are within the scope of operational efficiency. The Minister for Treasury and Resources wrote to the Panel on 28th March 2013 and confirmed that:

Chief Minister to seek required information from the Greffier of the States before the debate on the draft Regulations.

 

 

Recommendations

To

Accept/ Reject

Comments

Date of

Action/ Completion

 

 

 

 

"Creating this role has no direct resource implications, as a post of Assistant Minister would simply be replaced by a post of Minister, but such a change would deliver an essential improvement to the ability of the government to represent the best interest of the island overseas."

The improved accountability that would result from the establishment of a Minister for External Relations may have resource implications for Scrutiny. It might be expected that any such additional cost is within the scope of operational efficiency and so an impact assessment is unnecessary. However, the Chief Minister will write to the Greffier of the States prior to the debate to seek information regarding the costs of scrutinising a Minister and will share the information received with the Panel.

 

5

The States Assembly should not be asked to approve proposals for  a  Minister  for  External Relations  until  wider  issues regarding  the  Machinery  of

CM

Accept

There is a pressing need to establish a Minister for External Relations. However, the views of the Panel

Chief Minister to request before the 16th July 2013 sitting that the debate is re-

 

 

Recommendations

 

To

Accept/ Reject

Comments

Date of

Action/ Completion

 

Government  have addressed.

been

 

 

are respected and therefore the Chief Minister will request that the draft Regulations are re- scheduled for debate from the 16th July 2013 sitting to the 10th September 2013 sitting of the Assembly. This is on the understanding that matters arising from the Referendum will be decided during the 16th July 2013 sitting, that any further consequential changes to the machinery of government will be lodged by 10th September 2013 at the latest, and that the Chief Minister is not minded to request any further delay to the debate of these draft Regulations.

scheduled to the 10th September 2013 sitting.

CONCLUSION

This is the first time that a Chief Minister has sought to bring forward proposals to establish a new ministerial office under the provisions intended for this purpose within the States of Jersey Law 2005. The proposal to establish a Minister for External Relations will provide a test of the efficiency and effectiveness of these provisions.

The establishment of a Minister for External Relations is an essential change for the better, which is necessary to represent the best interests of the Island overseas. Jersey would be taking the lead amongst the Crown Dependencies in this regard, but would also be meeting the international norm applied by hundreds of countries around the world, whether large or small, sovereign or non-sovereign. This is an opportunity to make a simple transition from a post of Assistant Minister to a post of Minister, which has  no  direct  resource  implications,  but  which  would  ensure  an  immediate improvement to our ability to represent the best interest of the Island overseas and to be held to account by islanders and their elected representatives in the important area of UK and international relations.