Should We Be Genuinely Worried About What Is Happening to British Democracy?
Perhaps it is time that we asked ourselves a serious and uncomfortable question. Should we be genuinely worried about what is happening to British democracy?
Not because people hold political opinions with which we disagree, for that is the very essence of democracy, but because political power must ultimately remain in the hands of the British people, rather than becoming increasingly influenced by a small number of multi billionaires whose immense personal fortunes afford them a degree of political influence beyond anything we have previously witnessed in this country.
Within approximately forty eight hours, two cryptocurrency multi billionaires have provided ÂŁ72 million to Nigel Farage's Reform UK. To place that extraordinary figure into some sort of perspective, Reform spent approximately ÂŁ5.5 million nationally at the 2024 General Election, while Labour spent around ÂŁ30 million and the Conservatives approximately ÂŁ24 million. Two individuals have therefore provided Reform with more money than Labour and the Conservatives spent nationally at that election combined. Whatever one's political persuasion, that is political funding on a scale which ought to command the attention of Parliament.
There are, of course, statutory restrictions upon expenditure during regulated election periods, but political parties are not built during the few weeks of a General Election campaign. They are built over years. Money pays for researchers, advisers, professional campaigners, offices, technology, polling, advertising, data and constituency organisations. ÂŁ72 million gives a relatively young political party the means to establish a formidable national organisation long before the country is next asked to vote.
There is consequently an obvious question which deserves to be asked. Why would anybody give ÂŁ36 million to a political party? Both donors appear to possess sufficient personal wealth to provide the money themselves, and there is presently no evidence establishing that somebody else secretly supplied or reimbursed them. It would therefore be wrong to present suspicion as fact.
Nevertheless, contributions of this magnitude surely demand scrutiny commensurate with their size. The public is entitled to know the provenance of the funds, what due diligence was undertaken, what access these donors have to Reform's leadership, and what discussions, if any, have taken place concerning matters in which they possess substantial commercial interests.
The cryptocurrency connection makes those questions particularly pertinent. Ben Delo made his considerable fortune through BitMEX, while Christopher Harborne has substantial cryptocurrency interests, including a reported major interest in Tether. Reform has advocated policies favourable towards cryptocurrency. None of this proves corruption, nor does it establish that any policy has been purchased. It does, however, make it entirely reasonable to expect the greatest possible transparency when ÂŁ72 million is provided by two individuals whose fortunes are substantially connected with the same broad industry.
What is equally concerning is the extent to which Britain's established political parties have been distracted by their own difficulties. The Conservative Party remains severely weakened, while Labour spent months consumed by the challenge to Keir Starmer's leadership, the manoeuvring surrounding Andy Burnham, and ultimately a change of Prime Minister. While Westminster concentrated upon itself, the threats facing Europe continued to grow, uncertainty surrounding America's political direction increased, and Reform continued quietly building its political organisation.
That is also why Andy Burnham's comment in Parliament last Wednesday, that national security âcannot come at the expense of social securityâ, deserves examination. A civilised country plainly has responsibilities towards its most vulnerable citizens, and nobody should pretend otherwise. Nevertheless, the first responsibility of any British Government must be the defence and security of the United Kingdom and its people. Without national security there can ultimately be no social security, for the welfare state, the National Health Service, our economy and our democratic institutions all depend upon the stability and freedom which national defence exists to preserve.
We should also pay careful attention to events across the Atlantic. Donald Trump's presidency has demonstrated how rapidly established political conventions and institutions can be placed under considerable strain, which is why the forthcoming American midterm elections are of such consequence. At the same time, extraordinary private wealth from technology, cryptocurrency, artificial intelligence and other immensely profitable sectors is flowing into American politics. Britain would be dangerously complacent if it assumed that the growing political influence of multi billionaires was an exclusively American phenomenon.
None of this requires us to construct some elaborate conspiracy. There is no evidence that these wealthy individuals belong to a secret organisation directing Western politics, and it would be irresponsible to suggest that they do. The reality is both simpler and, perhaps, more troubling. There now exists an international class of multi billionaires whose financial resources enable them to exert political influence on a scale that would have been difficult to contemplate only a generation ago. They do not need to conspire with one another. Their political, financial and commercial interests need only coincide.
Nor should this be dismissed as an attack upon Reform UK. Nigel Farage has every right to seek election, Reform has every right to present its case to the country, and British citizens have every right to vote for it. If two multi billionaires were to provide ÂŁ72 million to Labour or the Conservatives tomorrow, precisely the same questions should be asked. The fundamental problem is not simply which political party receives the money, but that our political funding system permits such an extraordinary concentration of private financial power in the first place.
Successive Labour and Conservative governments have allowed this situation to develop. Britain now requires a meaningful statutory limit upon individual political donations, rigorous examination of the source and beneficial ownership of exceptionally large contributions, and proper transparency concerning the access afforded to major donors by senior politicians. Those requirements must apply equally and without favour to every political party.
The timing makes the present situation particularly troubling. The Conservative Party is weakened, Labour has only recently emerged from a damaging leadership struggle, Europe faces profound security challenges, and America is approaching midterm elections which may have consequences far beyond its own shores. Into this uncertain political environment comes ÂŁ72 million from two individuals to a party which spent only approximately ÂŁ5.5 million nationally at the previous General Election.
Surely that ought to be sufficient to make Parliament sit up and take notice. We do not need conspiracy theories, extravagant accusations or claims which cannot be substantiated. The established facts are remarkable enough. What Britain needs are answers, transparency, and political funding laws capable of dealing with private fortunes on a scale which those who originally framed our electoral rules could scarcely have imagined.
Ultimately, the political future of the United Kingdom should be determined by the strength of competing ideas and the judgement of its electorate. Wealth has always brought influence, and it would be naive to pretend otherwise, but there must surely come a point at which the sheer scale of private money entering politics raises a question which Parliament can no longer afford to avoid: how much influence should any one individual be permitted to purchase, however lawfully, over the political future of an entire country?
The way British democracy is being bought by crypto billionaires is simply obscene - and a direct result of Labourâs unforgivable inaction
theguardian.com/politics/202âŚ