Trade union leaders have issued an emergency warning over what they describe as “out of control” political spending following the disclosure of £72 million in donations to Reform UK over a single weekend.
The joint statement, released on Tuesday 15 September 2026 during the TUC Congress in Brighton, warns of the “Americanisation” of British politics. The surge in funding was triggered by two individual gifts of £36 million each from cryptocurrency billionaires Ben Delo and Christopher Harborne.
The scale of the donations has intensified a legislative battle in the House of Lords over the Representation of the People Bill. If passed in its current form, the legislation would introduce a £100,000 cap on donations from overseas residents, backdated to 25 March 2026.
Legislative challenge and retrospective caps
The government’s proposed bill specifically targets the influence of expat donors. However, the retrospective nature of the cap—applying to money received months before the bill becomes law—has sparked significant legal and political debate.
Under the Electoral Commission’s existing rules, political parties must ensure all donations over £500 come from a “permissible source,” which includes individuals on the UK electoral register.
Nigel Farage, leader of Reform UK, has hit back at the government’s plans to apply these new limits retrospectively. Mr Farage stated that both the £36 million donations were “100% compliant with the law today” and suggested that any attempt to force the return of the funds would be a politically motivated intervention.
Union stance on ‘clean money’
Trade unions, which provide a significant portion of the Labour Party’s funding through member subscriptions, are resisting calls for a total cap on all domestic donations. They argue that their funding model is distinct from that of individual multi-millionaires.
TUC General Secretary Paul Nowak described trade union funding as the “cleanest money in politics,” arguing that it is built on small contributions from thousands of workers rather than the “whims of billionaires.”
The unions’ emergency statement called for urgent reforms to prevent “vast sums of private wealth” from distorting democratic processes. This comes as Electoral Commission data for the second quarter of 2026 confirms a significant rise in political fundraising across the spectrum compared to the previous year.
Political resistance
Despite pressure from some of his own MPs to implement a universal cap on all large donations, Prime Minister Andy Burnham has so far resisted a total limit on domestic contributions.
The current focus remains on the Representation of the People Bill and its specific targeting of expat and overseas-based donors. If the Lords approve the retrospective clause, Reform UK could be legally required to return tens of millions of pounds, a move that legal experts suggest would likely lead to a protracted challenge in the courts.
For now, the £72 million remains with the party as the Bill continues its passage through Parliament, with peers expected to debate the backdating measures further this month.