People donating large sums to UK politics after moving to the country will now face restrictions for at least a year to prevent foreign influence on elections.
New measures introduced on Monday will strengthen the limitations on political donations exceeding £100,000 from international contributors. Those returning to the UK will be subject to this cap for a full calendar year, ensuring compliance even for individuals not registered as overseas voters.
For instance, if a donor relocates to the UK in July 2026, they must remain in the country for the rest of 2026 and throughout 2027 before being allowed to donate above the limit starting January 1, 2028.
This move may impact Reform UK, as it has received substantial donations from Christopher Harborne, a crypto billionaire based in Thailand. Mr. Harborne, who previously criticized Labour’s stance on foreign donations, is now subject to the new regulations after registering to vote in the UK.
Additional measures include stricter scrutiny of company donations, enhanced transparency requirements for candidates, and the closing of loopholes that could be exploited by those attempting to interfere in UK elections.
The UK Government’s reforms, to be implemented through amendments to the ongoing Representation of the People Bill, follow a review by former senior civil servant Philip Rycroft on foreign financial interference. The government’s comprehensive response to the review will be released on Monday.
The legislation will alter the eligibility criteria for companies making contributions to political parties and will cap donations from overseas residents at £100,000 per year.
According to the Mirror, political parties and politicians could face fines up to £20,000 from the Electoral Commission or up to seven years in prison for serious violations if they fail to ensure compliance with the new rules regarding company donations.
Company donations will be restricted based on their profits, allowing only legitimate UK-affiliated businesses to donate in a transparent, accountable way that reflects their actual financial status.
In March, the government announced a temporary halt on political donations via cryptocurrencies like BitCoin until regulatory measures are deemed sufficient by the Electoral Commission and Parliament.
Steve Reed, the Communities Secretary, emphasized the importance of safeguarding British democracy against undue influence, stating that the new regulations aim to combat illicit funding and foreign interference in elections, ensuring the integrity of the electoral process.
Recent reports revealed that a significant portion of Reform’s donations last year, totaling £18.6 million, came from individuals with offshore connections, making up almost 80% of the party’s funding.
Reform outpaced other parties in donation receipts this year, surpassing Labour and the Conservatives. While Labour raised £4 million and the Conservatives received £4.2 million during the same period, the Green Party obtained £263,884, and the Liberal Democrats were granted £3,