Elections watchdog reviews spending limits amid debate over Reform UK’s £72m

The head of the UK elections watchdog has said a review of political spending limits will look to ensure voters trust the system as a “level playing field” amid a row over Reform UK’s record-breaking donations.

Vijay Rangarajan said the rules needed to be “fit for purpose” and maintain public confidence in campaign financing.

His statement comes after twin £36 million donations made to Reform UK by crypto-billionaires Ben Delo and Christopher Harborne earlier this month, though ministers first sought the independent review back in July.

Under existing restrictions, parties standing candidates in Britain must not spend more than £34 million in the year before a general election.

Chief executive of the Electoral Commission, Mr Rangarajan, told the Sunday Times: “Trust in elections depends on people believing that the rules are fair and transparent, and how much parties and campaigners can spend is a significant part of that picture.

“Funding is essential to democratic participation and political debate, but the framework must give voters confidence that our elections are being contested on a level playing field.”

He added: “Our review will look across the campaign spending framework as a whole, including spending limits, the interaction between party and candidate spending, and the reporting requirements that support public confidence in the system.

“Campaigning has changed significantly in recent years, and a significant amount is spent between election periods, so it is right that we examine whether the current arrangements remain fit for purpose.”

The watchdog is required to uphold political impartiality and will give recommendations from its review in July next year.

It raises further questions about the potential impact of Reform’s windfall after Nigel Farage criticised Government plans to retrospectively apply a £100,000 cap on contributions from overseas donors.

The party has insisted the donations are in line, both with current rules and planned restrictions on money from donors based abroad, which would also apply for the first 12 months after expats come back to Britain.

Mr Farage said the money was compliant with the law as it stands but appeared to acknowledge it may fall foul of moves to clamp down on foreign funding, which ministers want to backdate to March 25 this year.

“Now, there is talk, and Angela Rayner was talking about this yesterday, there is talk of them retrospectively declaring donations illegal,” he told the BBC.

“Well, that simply cannot be.”

Mr Delo and Mr Harbone have been based in Hong Kong and Thailand respectively, though they are reported to have already returned to the UK.