Downing Street has refused to say if Labour’s new City minister will make decisions about China after it emerged she previously lobbied against tougher rules for Beijing.
Emma Reynolds was yesterday appointed as Economic Secretary to the Treasury to replace Tulip Siddiq, who quit following a sleaze probe.
In the role, Ms Reynolds will be responsible for policy on both the City of London and tackling corruption.
But there have been questions about her past job as managing director of TheCityUK, a trade group representing the financial services industry.
It has been reported that Ms Reynolds, in the role she held until May, urged the previous Tory government to water down proposed restrictions on Chinese business activity.
According to Bloomberg, she was part of a campaign to convince the Conservatives not to impose tougher rules on those doing business with China.
National security laws passed under ex-prime minister Rishi Sunak aimed to increase transparency of any dealings with nations posing a ‘potential risk to UK safety’.
There were efforts to keep China out of the strictest risk category, known as the ‘enhanced tier’, amid claims it would harm investment.
Emma Reynolds was yesterday appointed as Economic Secretary to the Treasury to replace Tulip Siddiq, who quit following a sleaze probe
Ms Reynolds serves as part of Chancellor Rachel Reeves’ team. In her new role she will be responsible for policy on both the City of London and tackling corruption
Ms Siddiq quit after a watchdog said it was ‘regrettable’ she was ‘not more alert’ to the reputational risk caused by her links to her aunt’s political movement in Bangladesh
Following her appointment as Ms Siddiq’s replacement, No10 dodged questions about whether Ms Reynolds would be involved in policy-making related to China.
Asked today if she would be recused from matters related to China, given her previous job, the PM’s official spokesman said: ‘She brings a wealth of experience to this role as the Economic Secretary to the Treasury as we drive forward our plan for change to raise living standards across the UK.
‘When it comes to the process for ministerial appointments, that process will be followed in exactly the usual way, all of the usual declarations will be made.
‘Any judgements that need to be made in relation to matters governing that will be made in the usual way.’
Asked when the public would find out if Ms Reynolds is able to make decisions about the UK and China, the spokesman added it would be released in the regular publication of ministerial interests, which happens four times a year.
A spokesperson for TheCityUK said: ‘Industry has been focused on these proposals for some time.
‘Emma was part of a wider team of members and colleagues who engaged with government on this issue.’
Ms Siddiq quit yesterday after the ministerial standards watchdog said it was ‘regrettable’ she was ‘not more alert’ to the reputational risk caused by her links to her aunt’s political movement in Bangladesh.
Her aunt is the former Bangladeshi prime minister Sheikh Hasina, who fled into exile after being deposed last year and is facing an investigation by an anti-corruption commission in Bangladesh, with Ms Siddiq reportedly named as part of the case.
Ms Siddiq has also come under intense scrutiny over her use of properties in London linked to her aunt’s allies.