Labour MPs are preparing to introduce amendments to the UK’s Representation of the People Bill that would permanently ban political donations made in cryptocurrency. This proposed change aims to address concerns that anonymous digital-asset transfers could be used to channel foreign money into British politics, following a temporary moratorium imposed in March.
According to The Guardian, MPs on Parliament’s all-party anti-corruption group are canvassing support for several amendments to the bill. A key proposal seeks to replace the government’s current moratorium on crypto donations with a permanent ban. This amendment is reportedly gaining broad backing among Labour MPs, amid ongoing scrutiny of the finances of the Reform UK party and its leader, Nigel Farage.
Liam Byrne, the Labour chair of the business select committee, is reportedly behind the crypto ban amendment, which had gathered at least 20 signatures by midday Thursday, according to the paper. Byrne stated that some politicians appear willing to go to “extraordinary lengths” to avoid scrutiny of their finances and urged colleagues to support the changes as a safeguard for UK democracy.
Other proposed amendments include one from former cabinet minister Anneliese Dodds to cut campaign spending limits by nearly a third, from £34 million to £24.4 million, with Dodds arguing that the UK faces “an arms race in funding political campaigns.”
Yuan Yang is proposing limits on the amount of money a party can hold when it is first established, following reports that Rupert Lowe’s Restore Britain launched with £2.5 million without declaring its source. Additionally, an amendment from Mark Sewards aims to introduce checks on donations that could be part of foreign attempts to undermine British democracy.
The UK government imposed a moratorium on crypto political donations in March, following the government-commissioned Rycroft Review. The review warned that the anonymity of digital-asset transfers could be exploited to channel foreign money into British politics. Philip Rycroft, who authored the review, had suggested a temporary “interlude” rather than a permanent ban to allow regulations to catch up.
Campaigners have advocated for a complete ban for months, citing the Electoral Commission’s perceived lack of tools to trace cryptocurrency donations and pointing to existing outright bans in Ireland and Brazil.
The push to strengthen the bill comes as pressure mounts over the funding of Reform UK. The party accepted cryptocurrency donations in June 2025 and has received millions of pounds from expat crypto billionaires Christopher Harborne and Ben Delo, though these specific donations were not made in cryptocurrency.
Nigel Farage is also under investigation by the Parliamentary Standards Commissioner regarding a £5 million gift from Christopher Harborne, received shortly before he announced his intention to run as an MP in June 2024. Farage has stated he was under no obligation to declare the gift and is entitled to spend it as he wishes. However, the transaction reportedly triggered a suspicious activity report from bankers who were unable to trace the ultimate origin of the funds. Farage has denied any wrongdoing.
Ministers have indicated they will propose tougher measures for the elections bill when it returns to the Commons on July 14. Government amendments are expected to include a £100,000 cap on donations from expats for their first year in the UK. A proposal for a £100,000 cap on all individual donations, floated by Stella Creasy, is understood to have less support.
The Representation of the People Bill is expected to return to the Commons on July 14.
Why This Matters
The materials describe a narrow update: Labour MPs are seeking to amend the Representation of the People Bill to permanently ban political donations made in cryptocurrency. Whether the proposed amendments will be accepted and become law.
Broader Context
Source materials place the factual news in this context: Labour MPs are preparing to force the UK government to permanently ban political donations made in cryptocurrency, theGuardianhas reported.
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