On the campaign trail in Makerfield, Andy Burnham told a democracy activist that he favoured a political donations cap of around £500,000 and wanted it reduced over time. His government is now resisting amendments that would move in precisely that direction. Mr Burnham was right in May. He is wrong now. It is difficult to argue that restricting a single person to giving half a million pounds a year to a political party would damage democracy. Such a cap would only affect the mega-rich. Reducing the cap would force parties to wean themselves off the present regime that allows the rich too much say.
There are two contra arguments swilling around Labour. The first is that there should be room for wealthy, progressive donors – whose cash helps rebut claims that Labour is in the pocket of the trade unions. The second is the warning from unions that a cap could undermine their ability to contribute to the Labour party.
