Hain resigns after donation row
Peter Hain resigns as work and pensions secretary after concerns about funding irregularities are passed to police.
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Thursday, 24, Jan 2008 08:30
Peter Hain has resigned from his role as the work and pensions secretary after concerns about funding irregularities were passed to the Metropolitan police yesterday.
Mr Hain admitted in November last year that he had failed to fully declare donations to his campaign to succeed John Prescott as deputy leader of the Labour party and had met with the Electoral Commission to provide further information about the donations he had received.
Following the commission's referral of its investigation to the Metropolitan Police, Mr Hain has stepped down from the government "to clear my name".
In a statement Mr Hain said he had realised he had "no alternative" but to resign following the commission's decision.
"I severely and seriously regret the mistake in declaring donations late," he added.
"I have cooperated as soon as I was able to with the Electoral Commission, providing all the details that they asked for, and I will of course cooperate in the future with the police and with any other authorities that wish to ask questions about this.
"I have found it a real privilege working for Labour in government since 1997 as a minister. I will continue to support this government and will continue to offer the prime minister all the support that I can."
He said he was grateful for the prime minister's decision to appoint him to the Cabinet and thanked his family, Labour colleagues and his constituents in Neath for their ongoing support during the investigation.
A Downing Street spokesperson confirmed the prime minister had accepted Mr Hain's resignation.
In a statement issued this morning, the Electoral Commission confirmed it had "undertaken a thorough review" of the belatedly declared donations.
It added: "Following discussions with the Metropolitan Police Service and the Crown Prosecution Service, the Electoral Commission has now referred matters to the Metropolitan Police for them to consider whether an investigation should commence."
It emerged earlier this month that Mr Hain, also the secretary of state for Wales, had received a further £103,000 of donations, £50,000 of which was reportedly channelled through the Progressive Policies Forum thinktank.
Though Mr Hain finished fifth in the race to succeed Mr Prescott, his campaign spending exceeded that of Harriet Harman, the eventual winner.
A statement from the Metropolitan Police confirmed the referral of the matter "in connection with potential breaches of the Political Parties, Elections and Referendum Act regarding donations received [by Peter Hain]".
It added: "An investigation will now begin by detectives from the special economic crime command led by acting commander Nigel Mawer."