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UK MPs Urge Temporary Halt to Crypto Political Donations Over Foreign Interference Fears

The move seeks to block potential foreign interference in party funding until formal Electoral Commission guidance is in place.

Overview

  • Matt Western sent a letter to Housing Secretary Steve Reed asking ministers to insert a moratorium into the Representation of the People Bill before its March 2 second reading.
  • The proposed pause would lift once statutory guidance is issued, reflecting a shift from earlier calls for a full ban that were not included in the bill introduced on Feb. 12.
  • Interim safeguards outlined include using only FCA‑registered crypto platforms, rejecting mixer‑linked or unidentified-source funds, and converting donations to pounds within 48 hours.
  • Western also urged mandatory source‑of‑wealth checks, tougher penalties for breaches involving foreign money, and expanded Electoral Commission powers to compel disclosures.
  • He highlighted enforcement gaps across six agencies and proposed a dedicated national police unit for political finance oversight, while parties such as Reform UK continue to accept crypto under stated compliance checks.