Oral Answers to Questions

Debate between Cat Smith and Chris Stephens

Thursday 9th March 2023 Commons Chamber

[Cat Smith]

The Electoral Commission has highlighted the weaknesses in the transparency requirements for political donations by unincorporated associations. They are not required to ensure that those who donate to them are permissible donors; there are also no transparency requirements in law for unincorporated associations that donate to candidates, rather than political parties or campaigners. The commission will continue to recommend changes to the law to ensure that voters can have greater confidence in political finance in the UK.

[Chris Stephens (Glasgow South West) (SNP)]

5. Whether the committee has had recent discussions with the Electoral Commission on the transparency, accountability and effective regulation of political donations to charities that act as think-tanks.

[Cat Smith]

The Speaker’s Committee has not held recent discussions on the matters raised. The Electoral Commission regulates the spending of organisations campaigning during the regulated period ahead of an election or referendum. It also regulates donations to political parties, candidates and campaigners. Unless a think tank is engaged in regulated campaign activity or itself makes donations, it will fall outside of the commission’s remit. The commission does not have a role in regulating spending on political activity more generally.

[Chris Stephens]

According to an audit by openDemocracy and Who Funds You?, the least transparently funded think tanks have raised more than £14 million in the past two years from mystery donors, with the likes of the Institute of Economic Affairs, the Adam Smith Institute and the TaxPayers Alliance refusing to declare all their funders. That is followed with estimates that $6 million is coming in from America. Is the Electoral Commission not concerned about the public influence that those right-wing think tanks have on our politics?

[Cat Smith]

As the hon. Gentleman knows, the commission does not have a role in monitoring the political activity of think tanks unless they are engaged in regulated campaigning ahead of an election or a referendum. The charitable activities of think tanks are regulated by the charity regulator for the relevant part of the UK, but the Electoral Commission would be happy to facilitate a meeting with the hon. Gentleman if he wishes to discuss this matter further with the commission.