UK quietly defers law to control political funding: Report



UK quietly defers law to control political funding: Report The UK legislation seeking to limit non-domicile funding of political parties appears to have been deferred till after the next general election, even as leading NRI industrialist and key Labour contributor Lord Swraj Paul maintained today that he would follow the law on the issue.

A leading newspaper today reported that the legislation seeking to limit donations from individuals who are domiciled abroad for tax purposes to not more than 7,500 pounds a year, has been quietly dropped until after the general elections due in May next year.

The disclosure means that key Labour donors such as NRI steel tycoon Lakshmi Mittal and Tory donor Lord Ashcroft will be able to continue pumping millions of pounds in the election campaigns, despite promises by different political parties to curb the influence of wealthy supporters.

Commenting on the Observer report, Lord Paul told a news agency: "I I have always maintained that I follow the law."

Lord Paul, Chairman of the Caparo Group of Industries and member of the Privy Council, said though the 'non-dom' bill for tax purposes was passed on July 20, the "effective date of enforcement has to be decided yet."

The delay in enforcing the law has prompted accusations that the government has "nobbled" an act of parliament by failing to ask the Electoral Commission to enforce the rule, the Observer said.

Bureau Report