In a remarkable surge of financial support, donations to UK political parties nearly doubled in 2023, reaching a staggering £93 million. This surge in funding, according to figures released by the Electoral Commission, has been attributed to the emergence of new mega-donors supporting both the Conservative and Labour parties, setting the stage for what could potentially be the highest-spending election in the nation’s history.
The Electoral Commission data reveals that in the last quarter of 2023, the Conservative Party amassed £9.8 million in donations, while the Labour Party secured £6 million. Labour, in particular, hailed 2023 as its most successful year for fundraising, marking a significant narrowing of the traditional fundraising gap between the two major parties.
Among the notable donors to the Conservative Party was healthcare tech entrepreneur Frank Hester, who contributed a substantial £10 million along with his company, the Phoenix Partnership (Leeds). Hester’s support was motivated by his endorsement of Rishi Sunak’s approach to artificial intelligence. Another significant contributor was Selva Pankaj, who donated £125,000 to the Conservatives.
On the Labour side, Gary Lubner, former Autoglass boss, emerged as the party’s top donor, contributing a significant £4.5 million. Fran Perrin, daughter of peer David Sainsbury, continued her generous support for Labour, with donations exceeding £2.3 million.
In anticipation of the forthcoming election, the Conservatives opted to raise their spending limits for the pre-election period from £19 million to £34 million, further fueling expectations of record-breaking campaign expenditure.
Louise Edwards, director of regulation at the Electoral Commission, commented on the surge in donations, noting the absence of donation limits but emphasizing the importance of spending limits to ensure fairness during elections.
The surge in donations coincides with revelations about Chancellor Jeremy Hunt’s financial support for his own constituency party. Records indicate that Hunt donated £18,084 last November, bringing his total contributions since the last general election to £123,345. His constituency party, facing financial challenges as indicated by its balance sheet, received substantial support from Hunt amid heightened competition, particularly from the Liberal Democrats, who are poised to contest Hunt’s seat vigorously.
Despite the tough electoral challenge, Hunt has expressed his determination to continue serving his constituents and his aspiration to retain his position as Chancellor following the election.
With the election looming, political observers anticipate a flurry of campaign activities fueled by the substantial financial backing received by both major parties. As the campaign season unfolds, the unprecedented level of financial support promises to shape the political landscape in the run-up to the 2024 election.
