Party Finance. Not a Broken System, But Some Reforms Are Required

Abstract

Elon Musk's rumoured donation of some £78 million to Reform UK has recently sparked off debate about party financing in the UK. Political party financing periodically appears on the political radar, with resulting calls for reform; some narrowly focussed, others calling for a complete overhaul, with some suggestions that the system is ‘broken’. It would be an error, however, to suggest that the entire system of party finance regulation is ‘broken’—reforms introduced in 2000 have actually been remarkably effective. But tweaks are required to ensure that it remains fit-for-purpose, including: additional regulation governing corporate donations; greater transparency related to donations made by citizens based overseas; and entrenching regular reviews of election spending limits. This short paper outlines the case for each of these proposed reforms.