Co-op to end £1m annual donation to Labour His comments are the first time the Co-op has explicitly said Labour's funding will be cut. Lord Myners joined the Co-op as a non-executive director, on an annual salary of £1, tasked with sorting out its governance structure in the wake of the Rev Paul Flowers scandal. His review will look first at the Co-op board and the way the mutual is run, and then at the organisation's relationship with its near-8m members. His work on the relationship with the Labour Party and other affiliated organisations such as other mutuals will form part of the second stage of the review, expected by the end of the year. Lord Myners said that although cuts were needed, following the discovery of the £1.5bn capital black hole at the Co-op Bank it was also important to do what members wanted. I suppose the answer is the right thing to do is what the members want. He said currently members" wishes were intermediated by committees and boards, but that "in the digital age it is possible to have connectivity with the membership in a more direct way." The governance review is likely to lead to an overhaul of the mutual's 20-man board, and the appointment of an external chairman for the first time. Asked if he wanted to be chairman, Lord Myners said he did not. I want to produce something that helps the Co-op. I'm a Lefty, it's important to me," said Lord Myners, who was appointed City minister in October 2008 by Gordon Brown. "My ambitions don't go beyond that," he said. His comments come ahead of another major week for the Co-op Group, when Lord Levene and Gary Hoffman are due to appear before the Treasury select committee on Tuesday. The two men ran NBNK, one of two bidders for Lloyds Banking Group's TSB branch. The other bidder, Co-op Bank, was selected as the preferred suitor, but the deal collapsed last April, six weeks before the capital shortfall was uncovered. Lord Levene is expected to give more detail on the bidding process and what, he has argued, was undue political pressure on Lloyds to sell the TSB unit to the Co-op. He has in the past described the process as a "wild goose chase" and is set to disclose further details of the political "interference" he has previously referred to.