The UK government has proposed new restrictions that would prevent overseas voters moving to Britain from donating more than £100,000 to political parties for one year after their arrival. These measures, intended to curb foreign influence in elections, will be introduced as amendments to the Representation of the People Bill.
Who will the new donation rules affect?
The proposed changes could impact major donors to Reform UK, specifically those relocating to the UK from abroad. According to Electoral Commission figures, crypto billionaire Ben Delo donated £4m to the party between January and March. Writing in The Telegraph in April, Delo stated he intends to move back to Britain from Hong Kong to increase his contributions to Reform.
British billionaire Christopher Harborne, a Thailand-based aviation entrepreneur and cryptocurrency investor, also faces these potential restrictions. The Times reported last month that Harborne has registered to vote in the UK. Harborne provided a single £9m donation to Reform last year, which stands as the biggest single donation to a UK political party by a living person.
Harborne’s total contributions to Reform reached £12m in 2025, followed by a further £3m in January. Under the new proposals, both Harborne and Delo would remain subject to the £100,000 annual cap for one year following their return to the country.
Did You Know?
Did You Know? The government previously announced a £100,000 annual cap on donations from British citizens living overseas, which was backdated to 25 March.
What are the specific proposed changes?
Beyond individual donor limits, the government plans to implement stricter oversight for corporate and candidate funding. Ministers stated that political donations from companies will be assessed based on post-tax profits over the previous five years, rather than using revenue alone. This change aims to ensure that only legitimate, UK-linked businesses can provide funding.
Candidates running for election will also face new transparency requirements. They must prove that any funding received prior to becoming a candidate originated from legitimate sources. Additionally, candidates will be required to declare any donations exceeding £2,230 that were received before they officially entered the race.
Expert Insight:
Expert Insight: The introduction of a one-year “cooling-off” period for returning overseas voters creates a significant barrier for high-net-worth individuals seeking to exert immediate financial influence. By shifting corporate assessments from revenue to post-tax profits, the government is attempting to close loopholes that previously allowed large-scale funding from companies with minimal UK-based economic substance.
Why is the government introducing these measures?
The proposals are part of a broader response to a political funding review led by former senior civil servant Philip Rycroft. The review was commissioned last year to address threats from foreign states attempting to meddle in British democracy. In March, the government also announced a ban on cryptocurrency donations to UK political parties.
Communities Secretary Steve Reed defended the move, stating, “British democracy is not for sale.” Reed added that the rules are designed to “shut down dodgy funding, stop foreign money influencing our elections and keep our democracy strong.”
Reform UK has criticized the move. The party’s home affairs spokesman, Zia Yusuf, accused Labour of “choking off legal funding for its main rival.”
What happens next?
The proposed amendments are scheduled to return to the House of Commons for further consideration on 14 July. If passed, these rules will formalize the restrictions on overseas donors, corporate profit-based assessments, and candidate funding declarations.
- The Representation of the People Bill returns to the House of Commons on 14 July.
- The £100,000 cap for overseas British citizens remains backdated to 25 March.
- Cryptocurrency donations to UK political parties are set to be banned.
Frequently Asked Questions
What is the proposed donation limit for overseas voters moving to the UK?
Under the new proposals, individuals moving to the UK would be prevented from donating more than £100,000 to political parties for one year after their arrival.
How will company donations be measured under the new rules?
Ministers plan to assess company donations against post-tax profits over the previous five years, rather than assessing them based on revenue alone.
What must candidates declare regarding their pre-candidacy funding?
People running for election will be required to prove the legitimacy of their funding and declare any donations above £2,230 received before they officially became candidates.
How should the UK balance political donation freedom with the need to prevent foreign influence?
