This post has been previously published by OCCRP.
The United Kingdom has long been known as a hotspot for hiding dirty money, and London has even been dubbed the money laundering capital of the world. A new report issued last week has now detailed how legal loopholes allow for money from foreign sources to fund British politics and influence elections.
The report released by the Committee on Standards in Public Life, an independent advisory body to the U.K. government, was triggered by concerns over the increased digital campaigning and its potential to hamper campaign finance tracking.
The committee consulted candidates and officers from various political parties, as well as experts and academics, in hopes of understanding how to revise regulations and campaign finance laws.
The committee’s chair, Lord Evans of Weardale, connected the rise of digital campaigning with the rise of secret funds, saying digital donations are “harder to track how much is being spent, on what, where and by whom.”
The report warns, in particular, about unincorporated associations, which aren’t recorded on the government’s register, Companies House, but still donate money to campaigns anonymously online. This untraceable way of contributing to campaigns allows dirty and foreign money to flow through politics, the report said.
If you want to know more, you can access the original post.
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