Elections expense limits - Parliament

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B. National campaign limits For the first time, PPERA imposed limits on how much registered political parties could spend on campaigning in various circumstances. Schedule 9 imposes limits in parliamentary elections. It also specifies that expenditure in the 365 days up to the day of a general election is counted towards the limit. The national expenditure limit faced by a political party is based on the number seats it contests: 3. - (1) This paragraph imposes limits in relation to campaign expenditure incurred by or on behalf of a registered party which contests one or more constituencies at a parliamentary general election. (2) Where a registered party contests one or more constituencies in England, Scotland or Wales, the limit applying to campaign expenditure which is incurred by or on behalf of the party in the relevant period in that part of Great Britain is- (a) £30,000 multiplied by the number of constituencies contested by the party in that part of Great Britain; or (b) if greater, the appropriate amount specified in sub-paragraph (3). (3) The appropriate amount is- (a) in relation to England, £810,000; (b) in relation to Scotland, £120,000; and (c) in relation to Wales, £60,000. (4) Where a registered party contests one or more constituencies in Northern Ireland, the limit applying to campaign expenditure which is incurred by or on behalf of the party in the relevant period in Northern Ireland is £30,000 multiplied by the number of constituencies contested by the party there. 8 Schedule 10 imposes limits on the expenditure of “recognised third parties”. The rules imposing limits on campaign expenditure in 2001 were modified because the relevant part of the Act did not come into force until 16 February 2001 (within the twelvemonth period leading up the 2001 General Election). The Political Parties, Elections and Referendums Act 2000 (Commencement No 1 and Transitional Provisions) Order 2001 made provisions for parties to spend the equivalent of up to £24,000 per constituency. 9 In its report on campaign spending in the 2001 General Election, the Electoral Commission summarised the expenditure limits for parties and reported how much the parties had spent on their campaigns. 10 The Electoral Commission’s information and details for the next General Election are set out below. 8 9 10 http://www.electoralcommission.org.uk/files/dms/Guidanceforelectionagents(final)_15449- 10977__E__N__S__W__.pdf Political Parties, Eelctions and Referendums Act 2000, chapter 41, Schedule 9 Political Parties, Elections and Referendums Act 2000 (Commencement No 1 and Transitional Provisions) Order 2001 SI 2001/222 Electoral Commission, Election 2001 – Campaign spending, November 2002, 6
Table 2: Limits on Campaign Expenditure – Parliamentary Elections (£) 2001 Election* Next Election** Great Britain 15,360,000 18,810,000 Scotland 1,728,000 1,770,000 Wales 960,000 1,200,000 Northern Ireland 432,000 540,000 England 12,696,000 15,870,000 * limit based on £24,000 per constituency (excludes Speaker’s constituency in Great Britain total) ** limit based on £30,000 per constituency, allowing for 13 fewer Scottish constituencies (excludes Speaker’s constituency in Great Britain total) C. Recommendations for changes to the spending limits In its report on The funding of political parties, the Electoral Commission noted that: • candidates’ expenses limits and national campaign limits were applied to different campaign periods; and • low limits for candidates limited their ability to campaign. Despite these limits having not yet been fully applied in full (transitional arrangements applied in 2001), the Commission formally recommended that following the next general election they should be reduced: We recommend that the financial limits on political parties’ campaign expenditure, together with those applying to individual candidates, be reviewed for all relevant elections, starting with a review of the spending limits for Westminster general elections. The national spending limit applying to Westminster general elections should be reduced following the next Westminster general election. We also recommend that candidates’ spending limits be raised to enable more activity at the local level. 11 Elsewhere in its report, it acknowledged that there had not yet been a full 365-day regulated period. However, it outlined how it would like its recommendation to be implemented: … our preferred option would be to reduce the national spending limit from £20m to £15m – or from £30,000 to around £23,000 per constituency – and increase 11 http://www.electoralcommission.org.uk/files/dms/Election2001Campaignspendingfinalpdf_7546- 6677__E__N__S__W__.pdf Electoral Commission, The funding of political parties, December 2004, p61, http://www.electoralcommission.org.uk/files/dms/partyfundingFINALproofs_15301- 11394__E__N__S__W__.pdf 7
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