Political Parties and Elections Act 2009

Political Parties and Elections Act 2009

2009 CHAPTER 12

Commentary on Sections

Part 2: Political Donations Etc and Expenditure

Section 19: Reports of gifts received by unincorporated associations making political contributions

92. Section 19 inserts a new section 140A into the 2000 Act. That section introduces new Schedule 19A into the 2000 Act, which is set out in Schedule 5 to this Act. Unincorporated associations are permissible donors as detailed in section 54(2) of the 2000 Act. The broad effect of Schedule 5 is that an unincorporated association which makes a political contribution of more than £25,000 to any recipient regulated by the 2000 Act (including political parties) in a calendar year will be subject to a new reporting regime in respect of gifts of a certain value it has received within a specified period. Political contributions in this context can take the form of donations, loans (including credit facilities and securities), or a combination of these.

93. Subsection 4 inserts a new subsection (3A) into section 62 of the 2000 Act, enabling regulations made under subsection 3(e) of that section to make provision amending paragraph 1 of schedule 19A. This would enable a loan from an unincorporated association to a third party or a permitted participant to be regarded as a political contribution for the purposes of Schedule 19A.

94. Subsections (5) to (7) of section 19 provide that, after consultation with the Electoral Commission, the Secretary of State may by affirmative order amend the insertions made by this section or the related Schedule, in their application to Northern Ireland; and may make consequential or supplemental provision.

95. Subsection (8) sets out two matters for the purposes of Schedule 19A. First, the first calendar year for which the new reporting requirements in respect of political contributions of more than £25,000 will apply is 2010. Second, no gift will be required to be reported under the Schedule if it was received before the day on which the Act receives Royal Assent.