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

To ask the Secretary of State for Levelling Up, Housing and Communities, what assessment he has made of the potential merits of introducing measures to require any private company that makes a political donation or loan to declare their ultimate beneficial ownership and be able to demonstrate that their owners would be permissible donors if they had given the same money directly.

Under the Political Parties Elections and Referendums Act 2000, political parties and regulated donees have a legal obligation to ensure that they only receive donations from permissible sources – and in the case of companies, that they are properly carrying on business in the UK. Companies must be registered with Companies House and incorporated in the UK. Corporate donations amounting to over £5,000 in any twelve month period must also be authorised via a company resolution.

The Electoral Commission already produces guidance which helps campaigners understand if a donor is permissible. This includes detailed guidance on verifying that a company is legitimately ‘carrying on business’.

Notwithstanding, the Government is supportive of the principle of further guidance to promote best practice and support campaigners in taking a risk-based approach.