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Under newly proposed foreign influence legislation, the UK government is reportedly considering action targeting elements within China’s security apparatus, according to sources familiar with the matter. This comes as ministers weigh the implementation of the Foreign Influence Registration Scheme (Firs).
Government Mulls Targeting Chinese Entities Under Foreign Influence Rules
Ministers are weighing the inclusion of specific sections of the Chinese state, implicated in alleged interference activities, within the enhanced tier of the Foreign Influence Registration Scheme (Firs).
China’s Potential Status in Firs
While comprehensive designation of China under the enhanced tier is deemed unlikely, sources briefed on internal discussions emphasize that a final determination regarding its status within Firs remains pending.
The Foreign Influence Registration Scheme (Firs), set to commence on July 1st, will mandate individuals in the UK working on behalf of foreign powers or entities to register their activities with the government. This scheme will operate on a two-tiered structure. The enhanced tier will apply to nations and entities considered to pose a heightened risk, necessitating more extensive disclosures.
Government ministers have already announced that Iran and Russia will be placed on the enhanced tier. This designation means individuals directed by these nations to conduct activities within the UK must declare them, or potentially face imprisonment for up to five years.
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The government has not yet publicly commented on China’s designation within Firs. This issue is reportedly under internal review, with ministers and officials deliberating between national security concerns and the economic advantages of maintaining close relations with Beijing.
Concerns have been privately raised by financial services firms regarding the potential inclusion of China in the enhanced tier. These companies argue that it could lead to cumbersome administrative processes to justify routine business engagements.
Targeting Specific Parts of Chinese State
In an attempt to bolster security measures while minimizing disruption to economic ties, ministers are exploring the option of targeting specific components of the Chinese political system, allegedly involved in interference in western nations, for inclusion in the enhanced tier.
Entities Under Consideration
The entities under consideration for enhanced tier designation reportedly include:
- Beijing’s Ministry of State Security, the Chinese intelligence agency
- The United Front Work Department, often described as the international outreach arm of the Chinese Communist Party (CCP)
- The People’s Liberation Army, the Chinese military
Designation of the CCP itself is also under consideration.
A spokesperson for the Home Office stated, “We do not offer comments on security matters.”
MI5’s Warning on Chinese Influence
Ken McCallum, Director General of MI5, stated in a 2022 address that “Chinese intelligence services, or entities within the CCP—such as the United Front Work Department (UFWD)—are conducting sustained, well-resourced, and deceptive campaigns to gain and exert influence” within the UK.
McCallum elaborated that the UFWD’s objectives include “amplifying pro-CCP viewpoints and suppressing voices that challenge the CCP’s legitimacy or authority.” He emphasized that these activities have “tangible impacts in communities across the UK” and “require confrontation.”
Political Pressure and Economic Considerations
Conservative Members of Parliament have advocated for China’s inclusion in the enhanced tier. Tom Tugendhat, the shadow security minister, stated in the House of Commons last year, “MI5’s advice was unequivocal. Without China in the enhanced tier, it becomes ineffective.”
Reportedly, there are persistent disagreements on this matter between the Home Office and the Treasury. The Treasury is said to be conveying apprehensions regarding the potential burden on businesses.
The Labour Party has reportedly pursued a policy of rapprochement with Beijing since assuming office. Both the foreign secretary, David Lammy, and the chancellor, Rachel Reeves, have undertaken visits to China in efforts to sustain positive economic relations despite existing security apprehensions.
Douglas Alexander, a trade minister, recently became the latest government official to visit China for discussions amidst escalating trade tensions between Beijing and Washington. China currently ranks as the UK’s fifth-largest trading partner.
The government is also conducting a cross-departmental audit of the UK-China relationship, fulfilling a commitment made in the Labour Party manifesto.