Reform UK set for financial blow as political donors face new £100,000 timebound cap

Reform UK set for financial blow as political donors face new £100,000 timebound cap The timebound crack down on UK political donors who move to the country is expected to be a blow to Nigel Farage's Reform, which raked in donations from Christopher Harborne after he relocated Donors who move to the UK face a cap on large political donations for a year or more after re-locating in a bid to crack down on foreign money influencing elections New safeguards are on Monday being introduced to toughen a cap on political donations of more than £100,000 from overseas donors. Individuals returning to the UK will now be subject to the cap for at least a full calendar year to prevent the rules being dodged – not just those who are registered to vote overseas. It means, for example, if the donor moved to the UK in July 2026, they’d then have to be here for the remainder of 2026 and then for the full calendar year of 2027. They would be able to donate above the cap from January 1, 2028. The move could hit Reform UK, which has raked in £15million in donations from Thai-based crypto billionaire Christopher Harborne. It recently emerged Mr Harborne had registered to vote in the UK, having previously said of Labour’s crackdown on foreign donations: “Where there’s a will, there’s a way.” Other new measures include stronger tests on company donations, new and tough transparency requirements for candidates, and the closing of loopholes that could be exploited by those seeking to interfere in UK elections. The Government's reforms, which will be introduced through amendments to the ongoing Representation of the People Bill, follow a review by former top civil servant Philip Rycroft into foreign financial interference. The Government's full response to the review is being published on Monday. The law will change the eligibility of companies to make donations to political parties, and will cap donations from overseas voters at £100,000 a year. The Mirror reported on Sunday that political parties and politicians could be fined up to £20,000 by the Electoral Commission or receive up to seven years in prison for the most serious offences if they fail to check whether a company donation they received is within the new rules. Company donations will be restricted based on their profit so that only legitimate UK-linked businesses will be able to donate in a way that is transparent, accountable and reflective of their real financial position. In March the Government announced an immediate pause on donations to political parties and politicians via cryptocurrency, such as BitCoin, until “the Electoral Commission and this Parliament are satisfied that there is sufficient regulation in place”. Communities Secretary Steve Reed said: "British democracy is not for sale. These tough new rules will shut down dodgy funding, stop foreign money influencing our elections and keep our democracy strong. By holding overseas donors to tougher standards and requiring candidates to prove where their funding comes from, we are taking world-leading action to protect the integrity of our elections and tackle the threats we face from abroad." This newspaper previously revealed of the £18.6million donated to Reform last year, some £15m came from those with offshore links. That is almost 80% of the cash given to the party. Reform’s donations this year far outstripped Labour and the Tories, with Keir Starmer ’s party raising £4million and the Conservatives recording donations of £4.2million in the same period. The Green Party received just £263,884 of donations, while the Liberal Democrats were handed £3,019,235.