Head of the Big Lottery Fund forced to apologise after claiming Tories would give less money to good causes than Labour

Lottery chairman Sir Clive Booth said sorry to the Tories after claiming they would give less money to good causes than Labour does.

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He was forced to climb down after an official investigation into a heated clash with Shadow Culture Secretary Jeremy Hunt.

The dispute followed The Mail on Sunday's disclosure in January that Mr Hunt had demanded to know why Sir Clive's quango, which is responsible for handing out half of all Lottery cash to good causes, spends a staggering £77million on running costs.

Sir Clive responded with a ferocious attack on Mr Hunt, saying he planned to give him a "lesson in elementary maths" and that Mr Cameron's Tories were "stuck in a time warp".

He added: "I don't understand why the Opposition is so hostile to the voluntary and community sector. When Mr Hunt and Sir Clive met at the Commons, the Tory MP asked him to apologise for making a party-political attack."

But Labour Party member Sir Clive snapped: "I'll apologise if you apologise as well." Mr Hunt protested: "But I have nothing to apologise for." Sir Clive retorted angrily: "Yes you have, your figures are all wrong, all wrong."

Outraged, Mr Hunt made a formal complaint to Cabinet Secretary Sir Gus O'Donnell the next day. He ordered Jonathan Stephens, Permanent Secretary at the Department for Culture, Media and Sport, to carry out an official inquiry.

The Big Lottery Fund spends 12 per cent of its funds on administration, six times more than some well known charities.

It also has 1,103 staff, nearly the same as the Treasury which has an annual budget that is 50 times greater than Sir Clive's £600million.

Sir Clive, who is paid £36,000 a year for working just eight days a month, is one of five Labour Party members on the Big Lottery Fund's board.

His letter of apology to the Department of Culture, a copy of which has been obtained by The Mail on Sunday, could not be more contrite.

He says sorry both for insulting the Tories and for claiming they planned to cut donations. He promises never to make similar derogatory remarks and denies being a Labour crony.

"I regret any unintended consequences of my words and would like to apologise for those," states Sir Clive. "I perhaps expressed my personal opinion in too graphic language. My comments were spontaneous and misjudged.

"I am keen to put on record my apologies if any of my comments were based on an innocent misunderstanding of Conservative policy. I do not believe Conservative Lottery policy undermines this [voluntary and community] sector.

"It is helpful to be reminded about the need for political neutrality and you have my absolute assurance that it was never my intention to infringe those important principles.

"I hope this letter goes some way to demonstrate that allegations of cronyism against me are unfounded and convey my apologies if my comments unfairly caused offence."

Government officials have made it clear to Sir Clive that it is unacceptable for the head of a public body to make such outspoken political attacks.

Mr Hunt said last night: "With his rash comments, Sir Clive risked bringing the Big Lottery Fund into disrepute. Sensibly he has chosen to apologise and put on record that his comments were misjudged.

"I can only hope the whole incident happened as an innocent mistake and not because of his private support for the Labour Party."