One wonders what his constituents make of his latest lucrative job.
Former Tory leader Rishi Sunak has been warned of a potential conflict of interest risk from his appointment as an advisor to Goldman Sachs, after it was revealed that he is set to re-join the bank in his first major role since he resigned as Conservative party leader last year.
Sunak, who has insisted that he will continue to serve as an MP and represent his constituents after the humiliating Tory defeat at the last general election, marks a return to the Wall Street investment bank with whom he started his career.
One wonders what his constituents make of his latest lucrative job.
However, while Sunak may have been hoping for a smooth return, the Advisory Committee on Business Appointments (ACOBA), which provides independent advice to former Ministers and the most senior servants on appointments they wish to take up on leaving government, has warned the former Prime Minister of a potential conflict of interest risk.
In a letter to Sunak published on its website today, ACOBA warned him that ‘without knowing which clients you will work with, the risks are hard to mitigate’. It added: “Therefore, whilst it is entirely proper for you to make use of your skills and non-privileged insight from your time in office to advise Goldman Sachs and its clients, there remains a risk that the work could conflict with your time in office.”
ACOBA also added: “While acknowledging that the risks associated with your access to information are limited due to the passage of time and political and economic changes, the Committee noted a potential conflict of interest risk could arise given the end clients are unknown. Consequently, a condition has been imposed to limit your role and reduce the scope for risks under government Rules.”
One of ACOBA’s conditions is that Sunak wait a period of 12 months from his last day in ministerial office before taking up the appointment.
It also set out another condition on Sunak, telling the Tory MP: “For two years from your last day in ministerial office, you should not become personally involved in lobbying the UK government or its arm’s length bodies on behalf of The Goldman Sachs Group, Inc (including parent companies, subsidiaries, partners and clients); nor should you make use, directly or indirectly, of your contacts in the government and/or ministerial contacts to influence policy, secure business/funding or otherwise unfairly advantage The Goldman Sachs Group, Inc (including parent companies, subsidiaries, partners and clients).”
Basit Mahmood is editor of Left Foot Forward
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