LAUNCHES CONSULTATION ON PARTY FUNDING
(2 June 2006)
the cash-for-peerages row, involving rich Labour party supporters
like Dr Chai Patel who were asked to make large donations or loans
allegedly in exchange for honours, the Labour Party has today started
a period of consultation with party members on the future of party
funding. The National Executive Committee (NEC) draft consultation
document seeks the views of our party stakeholders on issues likes
caps on party expenditure, limits on individual donations, financial
transparency and tax relief /charitable status for political parties.
consultation period for the NEC document extends until 31 July 2006.
The responses will help form the basis of the Labour Party's submission
to the Phillips review later this year. In a statement issued today,
the party said
Labour Party believes it is right that as a country we continue
to invest in our democracy, by supporting strong links between citizens
and their democracy. People are not apathetic about political issues
one only needs to look at the enthusiasm demonstrated for
tackling issues such as global poverty.
Labour Party believes, however, that political parties play an essential
role in sustaining our political institutions, without which we
cannot have a healthy, participatory democracy.
power is devolved at every level new institutions are being created
at local, regional and European levels. These institutions need
relationships with politicians. There has to be investment at all
these levels to ensure healthy democracy.
is important that the review respects the membership and constitution
of political parties. We believe, for example, that all our affiliates
be they socialist societies, trade unions, Constituency Labour
Parties - must remain an integral part of the Labour party and we
must maintain our strong links with the Coop Party with whom we
share a long and proud electoral tradition."