A powerful coalition of campaign groups is urging the UK government to adopt far more ambitious reforms as it finalises a landmark elections bill expected early next year. The legislation is set to extend the voting franchise to 16- and 17-year-olds, but civil society organisations argue this must be just the starting point for a wider democratic overhaul.
A Call to Cap Donations and Close Loopholes
In a letter sent this week to Communities Secretary Steve Reed and Democracy Minister Samantha Dixon, 19 organisations have demanded the introduction of a cap on political donations. The signatories, which include the Electoral Reform Society, Transparency International UK, Hope not Hate, and the UK Anti-Corruption Coalition, argue that such a measure is the best way to protect democracy and rebuild public trust.
The push follows the revelation that Reform UK, led by Nigel Farage, received a single £9 million donation from Thailand-based crypto investor Christopher Harborne. This is the largest donation from a living person to a British political party and has intensified scrutiny over political finance.
The government has already signalled plans to use the bill to tighten rules around donations from shell companies and unincorporated associations. It also intends to empower the Electoral Commission by increasing its maximum fine from £20,000 to £500,000. Campaigners, however, want the legislation to go further by banning political donations made in cryptocurrency, a move recently taken by Ireland and Brazil.
Broader Reforms for a Modern Democracy
Beyond campaign finance, the coalition's letter outlines several other key demands. It calls for the introduction of automatic voter registration, a system currently being piloted in Wales. This reform is designed to boost turnout and increase participation among renters and people from poorer socioeconomic backgrounds, who are statistically less likely to be registered.
Furthermore, the groups are urging ministers to safeguard the independence of the Electoral Commission. They warn that recent legislation allowing government ministers to set the regulator's strategy and policy "creates serious risks of interference and political capture." The signatories argue that restoring the Commission's full autonomy is essential for long-term integrity, regardless of which party is in power.
The Stakes for UK Political Funding
The call for a donations cap comes against a backdrop of concentrated political funding. A recent Transparency International report found that in 2023, £56.6 million in donations – 66% of the total from private sources – came from just 19 mega-donors. While Labour, like other major parties, relies on large private donations from figures such as former Autoglass boss Gary Lubner and entrepreneur Dale Vince, the government has so far been hesitant to legislate on limits.
Work and Pensions Secretary Pat McFadden commented in July that banning crypto donations was "definitely something the Electoral Commission should be considering," emphasising the importance of transparency. The upcoming bill presents a critical opportunity to enact these changes.
A spokesperson for the Ministry of Housing, Communities and Local Government stated: "Our elections strategy sets out tough new rules on political donations including plans to increase transparency and close loopholes for foreign funding as we modernise UK democracy and ensure its protection for generations to come." Campaigners now wait to see if the government's final legislation matches their ambition.
