Musk Donation to Farage's Party Sparks Electoral Law Debate

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Musk Donation to Farage's Party Sparks Electoral Law Debate
ELON MUSKNIGEL FARAGEREFORM UK
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Elon Musk's potential donation to Nigel Farage's Reform UK party raises concerns about British electoral law loopholes. Experts debate the legality and implications of Musk channeling funds through UK-registered companies.

Nigel Farage has confirmed he is in talks with Elon Musk about the tech billionaire making a donation to his populist Reform UK party. Loopholes in British electoral law mean such a donation could be unlimited in size and likely to be permitted if structured correctly. Tom Gillie, a barrister with a specialism in UK electoral law , said: “Existing legislation has not been drafted with this Musk scenario in mind — I don’t think anyone had conceived of this particular scenario happening.

” UK electoral law prohibits foreigners from donating directly to British parties. Musk, as an American, Canadian and South African citizen, would not be allowed to make a direct donation to Reform. But crucially the rules allow companies to donate to political parties so long as they are registered and incorporated in the UK, and carry on business in Britain. Musk controls businesses that tick those boxes, including the UK arm of social media company X, and his AI company xAI, which was incorporated in the UK this year. Gillie said the company making the donation would have to declare the ultimate source of the money, but it would still be permissible. Gavin Millar KC, another election law specialist, said: “It’s the most obvious example of how our current legislation is not fit for purpose, it’s utterly absurd. Parliament has to change this law.” However, Millar added there is little case law on this question and the Electoral Commission might look to who the money actually originated from and also question whether the company is being instructed by an impermissible donor. “It’s a fiction to say the company’s a donor in this case,” he said. There are no legal limits on the amount an individual or company can donate to a party in the UK. There are however limits on the amount a party can spend during an election period

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ELON MUSK NIGEL FARAGE REFORM UK ELECTORAL LAW DONATIONS

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