Question to the Ministry of Housing, Communities and Local Government:

To ask the Secretary of State for Housing, Communities and Local Government, with reference to the press release entitled Tough new rules to crackdown on foreign money in UK elections, of 6 July 2026, how the proposed profit test on corporate political donations applies to non-cash donations where the provision of (a) goods and (b) services in kind has no monetary cost to the company.

Companies (and limited liability partnerships) making donations will be required to demonstrate a genuine and substantive connection to the UK, preventing the use of shell companies to channel foreign or illicit money into UK politics.

We are introducing new, stringent eligibility criteria for companies and limited liability partnerships wishing to make political donations. Companies/LLPs will have had to make sufficient profit to cover their donation; be headquartered in the UK; and be majority owned or controlled by UK electors or UK citizens usually resident in the UK.

These changes are to ensure that political donations reflect genuine UK-based interests and help prevent foreign interference in our democracy.

The government is committed to understanding different views on the profit test and have continued to engage with Party representatives at the Parliamentary Parties Panel, as per our commitment. We are considering recent feedback and will share further detail on the profit test in due course.