UK Campaigners Urge Political Donation Caps to Protect Democracy Ahead of Elections Bill
Nineteen civil organisations, including the Electoral Reform Society, Transparency International UK, Hope not Hate, and the UK Anti-Corruption Coalition, have sent a letter to communities secretary Steve Reed and democracy minister Samantha Dixon calling for a cap on political donations. The move aims to protect democracy and rebuild voter confidence ahead of an elections bill expected early next year.
The elections bill will extend the franchise to 16- and 17-year-olds. Campaigners want it to close loopholes related to donations from shell companies and unincorporated associations. They also urge empowering the Electoral Commission to impose larger fines by increasing the maximum fine from £20,000 to £500,000.
Additionally, the groups call for a ban on political donations via cryptocurrency. They note that Ireland and Brazil have already implemented such bans and that UK ministers have indicated they are considering similar action. In July, Pat McFadden, the work and pensions secretary, stated that banning crypto donations is something the Electoral Commission should consider and emphasized the importance of knowing the donor's identity.
The letter was prompted in part by Reform UK receiving a £9 million donation from Christopher Harborne, a Thailand-based crypto investor—the largest donation by a living person to a British political party. Previously, the government considered a £100,000 cap on donations proposed by the Institute for Public Policy Research but has not enacted legislation to limit donations.
Campaign groups also support automatic voter registration, currently being piloted in Wales, to increase turnout, especially among renters and people from lower socioeconomic backgrounds. They warn against political interference with the Electoral Commission and urge safeguards to protect its independence following Conservative legislation that allows ministerial influence over its strategy and policy.
