Jacob Rees-Mogg’s hard Brexit group questioned by parliamentary authorities over funding

Emails released by the parliamentary standards watchdog show the European Research Group has a second bank account

A group of hardline Brexiteers, led by Conservative MP Jacob Rees-Mogg, has been questioned by a parliamentary watchdog over funding concerns as it emerged the group had a second bank account.

It comes after reports earlier this week suggested the European Research Group (ERG) of Tory MPs held a meeting in which some members spoke about the need to topple Theresa May and her Chequers plan for Brexit.

Correspondence between the ERG and the Independent Parliamentary Standards Authority (Ipsa), obtained by the news website Open Democracy, show how the watchdog challenged the ERG over its use of funding in support of a hard Brexit.

The group has received thousands of pounds from taxpayers, via MPs’ expenses, to fund its research but strict rules set out by Ipsa dictate how the money should be used.

The emails also reveal how the secretive group, whose 80-strong membership is not publicised, has a “second” bank account for entertainment purposes and “occasional functions”.

In one email from June, an Ipsa representative said: “Essentially the basis of concerns raised with us is the assertion that Ipsa funding is being used to support pro-Brexit campaigning activity.

“I think I’m correct in saying that the ERG has other sources of funding, which presumably can be used for campaigning or party political activity if you so choose. That said, I would be grateful for a further conversation with you about how this separation is maintained.

“We clearly have a responsibility to seek assurance that Ipsa funds are used in accordance to the [parliamentary] scheme.”

The scheme states that activities for which MPs use funding provided by Ipsa must not be party political, including anything that advocates for or against a party.

In response to one email, the ERG said: “We don’t as a research group do political campaigning. The MPs separately are politicians.

“We have two bank accounts. One Ipsa and one not. The non-Ipsa one pays for occasional functions, MPs’ breakfasts, drinks etc. That’s it really.”

Mr Rees-Mogg also told The Independent the second bank account has “never been secret” and is part of “ensuring we do things properly”.

An ERG spokesperson added: “Everything is declared in accordance of Ipsa rules and Ipsa has always cleared the rulebook. Ipsa has always found the ERG to be compliant.”

A spokesperson for the watchdog told The Independent: “Ipsa asked the ERG to provide assurance that any funding received from Ipsa was used in line with the rules of the [parliamentary] scheme.”

A separate chain of emails, from September 2017, also shows how the ERG was criticised by the watchdog during a routine check for a briefing paper it said was highly critical of the Labour Party.

The paper ran under the title: “Labour’s decision to vote against [the EU Withdrawal Bill] is irresponsible, a breach of trust with their voters and a vote to create chaos.”

In response, Ipsa told the ERG: “Admittedly there is sometimes a grey area between the parliamentary and political, but in the case mentioned above it is clear. We would ask that you avoid using similar language in the future.”