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According to several government insiders, China has allegedly threatened to retaliate toward the UK if ministers move to target certain components of its security infrastructure under recently established external lobbying disclosure requirements.

Bilateral Tensions Intensify

Beijing representatives supposedly conveyed this message to the British diplomatic corps shortly following reports emerged that the UK government was considering such measures. This development has raised concerns given the administration's continued reluctance to apply stricter external lobbying rules on lobbyists acting for China or any branch of the PRC government.

Existing Lobbying Disclosure System

Currently, only Russia and Iran have been included in the stricter category of the Foreign Influence Registration Scheme (Firs), which came into effect in July and became fully operational this month. This system mandates anyone in the UK acting for a external government or organization to disclose their activities to the government or risk criminal sanctions.

• The stricter category covers nations and organizations considered a particular risk.
• It mandates additional disclosures above the standard requirements.
• As a result, any individual performing unregistered work on behalf of Tehran or Russia could receive up to five years in jail.

Proposed Designations

Previously, sources suggested that instead of designating Beijing as a complete entity, UK officials were considering including specific parts of the Chinese political system that have been alleged to conduct interference in western nations to the stricter category.

These organizations reportedly comprise:

• The PRC's primary intelligence agency
• The CCP (CCP)
• The United Front Work Department
• The People's Liberation Army (PLA)

Dismissed Spying Trial

Meanwhile, the administration is under growing scrutiny over the sudden collapse of an spying trial involving two Britons, comprising a former legislative aide. Christopher Cash, a former parliamentary aide to Tory parliamentarians, and his friend Christopher Berry had been accused of spying for Beijing.

The case was unexpectedly dismissed by the public prosecution authority in mid-September. The accused men had contested the allegations.

Legal Challenges

Media reports suggested that the government's refusal to officially characterize Beijing as an "enemy" in official testimony from a security official contributed to the trial's dismissal. Jonathan Powell, the prime minister's top security official, allegedly led a discussion in the UK government headquarters where he informed officials that the state's testimony would avoid labeling Beijing an adversary.

Government sources subsequently denied the allegation that the security adviser was responsible for restricting official testimony.

The legal challenge stemmed from the espionage legislation of 1911, which specifies that a person is responsible for espionage if they transmit information "beneficial to a hostile power". However, the current government's security policy describes China as a "geo-strategic challenge" rather than an enemy.

Ongoing Bilateral Engagement

Despite these disagreements, UK-China relations appear to be warming. Several senior government figures have traveled to Beijing on state trips since the current administration took office. These include the business secretary, who participated in commercial discussions last month, and Jonathan Powell, who visited during the warmer months.

Additionally, talks have reportedly occurred between senior Foreign Office officials and legislative officials regarding the possibility of lifting the ban on the PRC diplomat entering parliament, potentially in exchange for China removing its sanctions on UK parliamentarians.

Prime Minister Keir Starmer is largely anticipated to make a bilateral trip to Beijing in the beginning of the new year, though the exact timing might be dependent on global developments, including a possible trip by ex-American leader the Republican figure.