My Lords, I thank the noble Lord, Lord Wallace of Saltaire, and the noble Baroness, Lady Bennett of Manor Castle, for their support. This amendment would prevent overseas electors donating to political parties in the UK. We had quite a debate about this in Committee so I will not go over all the points, but I want to talk about the reasons behind our concerns and to raise a few key things.
We are concerned that the change to remove the 15-year limit on registering overseas electors creates a loophole in donation law that would allow wealthy donors unlimited access to our democracy and the opportunity for unprecedentedly large donations. We do not believe that foreign donors should be allowed to financially influence our democratic processes; that right should be reserved for citizens who actually live in this country. The Electoral Commission recommended introducing new duties on parties to enhance due diligence and risk assessment of donations based on existing money laundering regulations, which would protect parties and build confidence among voters, so that sources of party funding would be thoroughly and properly scrutinised.
We are therefore disappointed that the Bill does nothing about this and does not bring in what is urgently needed—an effective regulatory and enforcement regime to ensure that foreign money and dark money cannot enter our political system through donations to political parties. We have tabled Amendment 63 to protect our democracy from this foreign money, which
we know is already impacting our politics. Concerns about how our democracy is being influenced by malign foreign influences has been highlighted already in the Russia report. That was debated at length in Committee, so I will not go into that any further, but it provides a clear example and concern.
Our fear is that the Government have, potentially inadvertently, created a system vulnerable to overseas interference. It allows a person to call up any or every local authority to say they were resident in the area 30 or 40 years ago with pretty flimsy proof and then be able to be registered and donate enormous sums of money. That is our key concern. When this was debated in Committee, the Minister said that if you have the right to vote, you should have the right to donate. Although I understand entirely the principle behind this, it does not address our very real concerns. If I am not satisfied by the Minister’s response that there is genuine recognition of this concern and that action will be taken by the Government to stop this potential foreign influence on our elections and political parties, I will wish to divide the House.