Tory donations drop 40% in three months as Labour overtakes Sunak’s party

Conservative party donations fell by 40 per cent in just three months as Labour took in more money than Rishi Sunak’s party for the first time in over a year.

Labour received £4.7m donations between July and September, more than any other party, according to official Electoral Commission figures.

The sum is significantly greater than the £2.9m donated to the Tories over the same period – which took in the turmoil of Boris Johnson’s resignation and the lengthy leadership contest.

The 25 per cent rise in Labour donations comes as Sir Keir Starmer’s party recorded a resounding victory in the Chester by-election and continues to polls well ahead of the Tories.

“Donors are coming back to Labour because they can see we are a changed party that is serious about getting into government and building a fairer, greener, more dynamic Britain,” a Labour party spokesperson said.

They added: “We are very grateful for all support, large or small, as we gear up to fight the next general election.”

Labour got around £1.6m from trade unions, the latest figures show – but the party has also had success in wooing wealthy donors in recent months.

Multimillionaire tycoon Gareth Quarry, who earlier this year revealed he had decided to switch from backing the Tories to supporting Labour, is recorded as giving £50,000 to the party.

Mr Quarry recently said the Tories’ behaviour in recent years had made Britain “a laughing stock”, arguing that Labour now had “sensible people” in charge.

The party is understood to be expecting to record even higher donation figures in the next quarter, which will take in the tumultuous period around the mini-Budget disaster and Liz Truss’s resignation.

Labour party chiefs reportedly want a £30m war chest to fight the next general election. Sir Keir has upped his appearances at donation dinners and has asked senior Labour MPs to bring two or three potential donors, according to City AM.

The Liberal Democrats recorded around £1.7m July to September, according to the Electoral Commission, with more than £11m in total donated to 19 separate UK political parties. The SNP, led by Nicola Sturgeon, received £396,00.

Louise Edwards, the Electoral Commission’s director of regulation, said: “Parties are legally required to check the donations they accept are from permissible sources and to report these to us.

“While these laws help voters to understand where political donations come from, reforms are needed to modernise and further safeguard the system,” said Ms Edwards.

“We have recommended for some time that the UK government and parliament work with us to improve donation controls and increase confidence in the UK’s political finance regime.”