Lisa Nandy has been found to have “unknowingly” violated public appointment regulations in the selection process for the head of England’s new football regulator.
The Shadow Secretary of State for International Development initially nominated sports rights executive David Kogan as the government’s preferred candidate to lead the new regulatory body in April.
However, she subsequently recused herself from the process after discovering that Mr. Kogan had donated £2,900 to her 2020 Labour leadership campaign, according to an official report.
Sir William Shawcross, the Commissioner for Public Appointments, stated that Ms. Nandy should have conducted a preliminary check and taken “any necessary consequential action” upon discovering the donation.
“The existence of the donations was capable of creating a perceived conflict of interest in the appointment process,” Sir William elaborated.
He further noted that Ms. Nandy was “in a position readily to ascertain whether he had donated to her campaign,” particularly since officials had informed her that Mr. Kogan possessed “extensive links to the Labour Party and had made several donations to it.”
In a letter addressed to Sir Keir Starmer, Ms. Nandy stated that she had declared Mr. Kogan’s donations to her campaign “as soon as I discovered these donations existed.”
She added, “I deeply regret this error. I appreciate the perception it could create, but it was not deliberate, and I apologise for it.”
In response, the Prime Minister acknowledged that Ms. Nandy had “acted in good faith.”
Conversely, the Conservatives asserted that the decision to appoint Mr. Kogan without disclosing his prior donations constituted a “serious breach of public trust.”
Shadow Sports Secretary Nigel Huddleston added, “This goes to the heart of Keir Starmer’s judgment.”
“Both he and Lisa Nandy have very serious questions to answer,” he concluded.
Sir William initiated an inquiry in June following Mr. Kogan’s revelation during a confirmation hearing with Members of Parliament in May that he had contributed funds to Ms. Nandy’s 2020 leadership campaign, as well as to that of the Prime Minister.
The inquiry focused on whether the appointment process contravened the established code governing public role appointments.
In his report, Sir William noted that Mr. Kogan had made two donations of £1,450 each to Ms. Nandy’s 2020 campaign, one personally and one through his company.
These donations formed part of total donations worth £33,410 to Labour and the party’s candidates in the five years preceding his appointment, according to the commissioner.
Both donations to Ms. Nandy fell below the declaration thresholds stipulated by the Electoral Commission and Parliament.
Nevertheless, Sir William concluded that Ms. Nandy was “readily able to check” whether Mr. Kogan had donated to her campaign before announcing him as her preferred candidate for chair and should have done so before his appointment.
“It is not necessary for the donations to have actually influenced the Secretary of State’s decision-making – only that the risk of this perception should have been mitigated by declaration of this financial interest,” he wrote.
“The Commissioner finds that she has unknowingly breached the code. She should have carried out that check and taken any necessary consequential action before selecting him,” he added.
The commissioner also determined that Ms. Nandy’s department had breached appointment regulations by failing to disclose Mr. Kogan’s prior donations to Labour when he was announced as the government’s preferred candidate for the role in April.
Additionally, the department violated the rules by not discussing his donations during his interview for the position, Sir William found.
In his letter to Ms. Nandy, Sir Keir acknowledged that “the process followed was not entirely up to the standard expected.”
He added that Ms. Nandy’s department had expressed its willingness to cooperate with the commissioner, as well as the Cabinet Office, to “learn lessons and to improve the guidance on handling conflicts of interest.”
It was confirmed last month that Mr. Kogan has been appointed for a five-year term running the new regulator until May 2030.
The watchdog will be responsible for overseeing the men’s game in England’s top five divisions.
In a statement, Mr. Kogan said, “I have cooperated fully throughout the investigation and can now draw a line under the process.”
“As the commissioner states, my suitability for the role has never been in question, and at no point was I aware of any deviation from best practice.”
“It is now time to move on and get on with the business of setting up the IFR [Independent Football Regulator] so we can tackle the critical and urgent issues facing football.”