Andy Burnham's government is "determined to tackle" the issue of "mega-donors" in UK politics, a minister has said in response to calls for an immediate cap on donations. Florence Eshalomi said a new team would be "working at pace to find a solution", as some MPs expressed concerns over the influence of wealthy individuals donating large sums of money. The Labour government has already committed to a £100,000 annual cap on donations from British citizens living overseas, but ministers have been pressed to go further by introducing a limit for UK-based donors.
Reform UK's Danny Kruger warned the Representation of the People Bill was a "flagrantly partisan attempt to kneecap" the party. Chris Mason: Reform face headwinds as they gather for conference Labour MPs seek cap on political donations New rules won't stop me donating, says billionaire Reform backer Reform has been critical of measures contained in the bill and the impact they could have on funding the party receives from donors. There are currently no restrictions on the amount of money UK-based donors can give to political parties and politicians.
Labour MP Stella Creasy said donations from individuals and companies giving £1m or more had "surged" in the last decade and gave examples for different political parties. Among those she named was British billionaire Christopher Harborne, a Thailand-based businessman, who is one of Reform's biggest backers. Last year he gave a single donation of £9m to Reform - the biggest single donation to a UK political party by a living person.
Creasy was among those who tabled amendments seeking to also impose a cap on UK-based donors. One of her proposals called for an immediate £500,000 limit which would reduce to £100,000 in the second calendar year. Minsters would have been able to set a permanent cap.
The amendment, which was not moved to a vote, was signed by more than 60 MPs. Creasy told the Commons: "Obscene wealth is increasingly dictating who is heard, whether we like it or not, what issues are being prioritised and whose interests shape policy decisions." The Walthamstow MP added that there was a "need to act now to protect the next general election". Her proposals would have exempted trade unions from the donation cap, with the MP saying this is "already well regulated" and "clean money".
Kruger highlighted the millions of pounds donated by trade unions to the Labour Party as he criticised the proposals and the bill. The MP for East Wiltshire said: "The claim is made that this bill will defend democracy, but actually it's a flagrantly partisan attempt to kneecap Reform UK." The former Conservative MP added: "The suggestion is made that this bill will restore trust in politics and that is exactly what is needed. "But what they all mean is to restore trust in the class of politicians and in the political parties that have got us into the mess that we are in, including the party I'm afraid to say I was part of which is why I left it.
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