2 - Trends in British political funding, 1979–84

Summary

Following the British general election of 1983, attention was again drawn to the problems of political funding by two pieces of legislation intended, according to opponents of the government, to increase the fund-raising advantages enjoyed by the Conservative Party over its adversaries. Under the terms of the Trade Union Act 1984, all the major unions which had political levy funds were obliged to poll their members by March 31, 1986 for their approval to continue raising money for political purposes (a practice of the Labor Party). The act also widened the definition of “political purposes” for which money could not be spent from a union's general funds. If a number of the largest unions voted against the political levy, this would not only deal a symbolic blow to Labor, it could severely affect the party's finances.

A second, less significant reform, was the proposal brought before the House of Commons in 1984 to raise the deposit required for parliamentary candidates from £150 to £1,000 and, at the same time, to lower the vote required to avoid its loss from 12.5 percent to 5 percent. After initially proposing the higher amount, the government agreed in 1985 to a compromise figure of £500. Since Conservative Party candidates are generally thought to be better financed than their opponents, this was attacked as another partisan measure.

Supporters of the government had several answers to the critics.