Evaluate The View That The System Of Funding Needs Reform

Question 1

Intro

Answer 1

Political parties are paid from general taxation but must meet election costs from voluntary subscriptions, donations , fundraising events.
But a cause of concern + may need reform as has allowed rich interest groups to influence parties, unfair advantage to bigger parties + needs reform.
Evidence the system is undemocratic

Party fundings potential for corruption + undue influence poses a risk to existing democratic system and thus clearly shows there’s need for some reform of funding.

Question 2

Wealthy individuals

Answer 2

P- have a huge influence on policy.
E-In 2006-2007 cahs for peerages scandal.
Link between individuals who loaned high amounts to Labour + were nominated Blair for life peerages in HOL.
Although nomination was rejected by HOLAC , there was suspicion that peerages were promised in return for loans.

Question 3

Wealthy donors counter

Answer 3

P- donations are regulated by Electoral Commission; ensures all large donations + loans are transparent + come from individuals/ businesses who are on electoral roll
P-donations are certainly an issue, they aren’t the only source of party funding in UK. The diversity of party funding sources e.g. trade Union contributions and membership fees ( Labours membership is £5.40 whilst conservatives is £3.70) helps balance influence and reeducation dominance on any single source. Labour received approximately £2.4 million from TU.

Question 4

2 party system

Answer 4

P- current system favours Labour and Conservative upholding 2-party system.
E- 2024 , Labour more than £9,5 million in funding, Conservatives more than £1.8 million.
Reform more than £1.6 million
In donations.
A- although reform is growing, Labour and conservatives have dominated the system of political funding for over 20 years maintaining a significant advantage over smaller parties and outperforming them in terms of advertising.

Question 5

2 party system - counter

Answer 5

P- can be seen as reflecting public support - most support across the UK. more than 370k supporters for Labour at end of 2024.
Could isolate parties from wishes of public + members, harming democracy.
Evaluation - overall, reforming it would help challenge the 2-party dominance and perhaps give Liberal Democrat’s a higher chance of succeeding.

Question 6

Wealthy donors evaluation

Answer 6

However, in 2019, Labour received £5million from unions.
This shows that Trade Unions are decreasing whilst the funding from donors still remains high.

Question 7

Party funding shouldn’t be reformed

Answer 7

Ina way thats restricts trad Union donations as these are a form of collective political participation for millions of working class voters.
E- Unlike wealthy donating for personal gain, Union support policies that align with labours interests e.g. workers rights.
This helps balance elite influence

219, £5 million from trade unions which represents 3 million members combine.