Electoral Law: Political Donations and Donors

3. Whether the committee has had recent discussions with the Electoral Commission on the strength and transparency of electoral law on political donations and donors.

The Speaker’s Committee has not held recent discussions on the matters raised. The UK has one of the most transparent political finance regimes in the world. However, the Electoral Commission has highlighted that modernisation and additional safeguards are needed so that voters can have greater confidence in the system. Its recommendations include new duties for parties to conduct risk assessments of donations and “know your donor” checks, and a requirement for companies to have made enough profit in the UK to fund any donations that they make.

I have spoken before about the Tories and unincorporated associations potentially being used as a route for foreign money to influence UK elections, with £1.7 million in registered donations linked to climate sceptics and fossil fuel interests. What is the Electoral Commission doing to bring more transparency to funding that is being channelled through those associations and mitigate the influence of lobbying groups?

The Electoral Commission has highlighted the weaknesses in the transparency requirements for political donations by unincorporated associations. They are not required to ensure that those who donate to them are permissible donors; there are also no transparency requirements in law for unincorporated associations that donate to candidates, rather than political parties or campaigners. The commission will continue to recommend changes to the law to ensure that voters can have greater confidence in political finance in the UK.