Foreign Interference in UK Politics

Lisa Smart Excerpts

Monday 6th July 2026 Commons Chamber

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the Liberal Democrat spokesperson.

[Lisa Smart (Hazel Grove) (LD)]

I am grateful to the Minister for advance sight of her statement.

Just over five months ago, I stood here and asked the Secretary of State to strengthen the Representation of the People Bill by ensuring that post-tax profits, not overall revenue, were used when assessing the eligibility of company donations. He rejected that plea, as did the Minister in Committee, but I am delighted that this Minister has now agreed to accept that. It was a recommendation from Philip Rycroft and from those working in the democracy sector, and it is a welcome change.

We Liberal Democrats champion a fair and free society, so we also welcome the announcement that candidates will have to declare gifts of over £2,320 in the year prior to their election. That, hopefully, will provide further useful clarity for those who may thus far have been confused about what they do and do not have to declare. We welcome steps towards cracking down on any foreign interference in our democracy, but we still have some way to go, and we urge the Minister to consider banning anyone who has served in a foreign Administration from donating to UK political parties, think-tanks or campaign groups, as well as banning donations from those convicted of political violence; that would include those funding the likes of Stephen Yaxley-Lennon. People who hold British values in contempt and act as a mouthpiece for those who want to undermine our democratic institutions should have no place in our democracy.

We need a much more transparent system to ensure that the British people have faith in politicians. What the Minister has announced today will close loopholes, but too many will remain. Will she consider exploring the benefits of a cap on donations from UK donors, and year-round spending caps by political parties and candidates? That is the way in which loopholes are truly closed.

Finally, can the Minister gives us some insights into how this important work will be handled across the multiple ministerial Departments and agencies? It involves the Foreign, Commonwealth and Development Office, the Home Office, the Department for Science, Innovation and Technology, the Ministry of Housing, Communities and Local Government, and the Cabinet Office. The Minister is very able, but she is the Minister for Building Safety, Fire and Democracy. Does she agree that a more streamlined portfolio is what our democracy deserves?

[Samantha Dixon]

The hon. Lady is asking me to consider my job description, but given the sensitivity at the moment, I do not think I will go there.

I hear what the hon. Lady has said about caps. I think that there is a role for political donations in our system: it leads to a thriving and healthy democracy that is funded properly and fairly. The Government’s aim was to legislate through the Representation of the People Bill, but in order to be absolutely sure that we had not left any loopholes, the Secretary of State took the decision to commission Philip Rycroft’s review. He did identify loopholes, we have accepted their existence, and we will be working to close them next week. This is an ongoing issue, and we do indeed work across the Government. I have explained about the defending democracy taskforce, and it is a busy and hectic arena, but I try to keep abreast of my entire portfolio.