Reform UK’s recent declaration of £72 million in substantial donations has intensified the political donations cap debate across Britain. The party received two £36 million contributions from wealthy businessmen Ben Delo and Christopher Harborne. Both men are British but have resided abroad until recently.
Party leader Nigel Farage insists these contributions are “100% compliant with the law today.” However, he could not confirm if they would meet proposed new parliamentary rules. Ministers are currently debating legislation to impose an annual £100,000 cap on donations from British expatriates.
Crucially, this proposed cap would be backdated to 25 March 2026. The legislation also states that individuals returning to the UK would need to wait at least a year before donating more than £100,000. Donors must also have registered as UK residents by 25 March 2026 to avoid the new limit.
Mr. Farage strongly criticised any attempt to retrospectively declare donations illegal. He warned of potential retaliation, threatening to limit trade union donations if Reform UK formed a government. He argued such a move would “collapse” the political funding system, potentially leading to taxpayer-funded parties.
Trade union leaders swiftly dismissed any comparison. Paul Nowak, general secretary of the TUC, highlighted the difference between workers’ small contributions and a party funded by billionaires. Unite leader Sharon Graham suggested an individual donation cap of £500,000 to £1 million for UK residents.
Meanwhile, the government has expressed concerns about the influence of large overseas donations. Education Minister Georgia Gould told the BBC that significant sums, sometimes from abroad, could unduly shape politics. The proposed rule changes follow a report by Sir Philip Rycroft on foreign interference, published on 25 March.
Sir Philip Rycroft himself advocated for capping all donations, regardless of the donor’s residency. He noted that retrospectively banning certain donations would be controversial. However, he added it might be necessary to prevent a rush of donations before new rules take effect.
Opposition parties have also voiced apprehension. Conservative shadow foreign secretary Tom Tugendhat warned against an “Americanisation of politics” driven by money. Liberal Democrats and the Green Party called for emergency legislation and tighter donation limits.
Mr. Farage clarified that the £72 million would help Reform UK “catch up” with other major parties and become more professional. He denied that Delo or Harborne would receive peerages or government contracts under a Reform government. He also stated that neither man held influence over the party’s cryptocurrency policy, having simply approved of its proposals.
