Seven committee chairs in the UK Parliament have officially written to Prime Minister Keir Starmer, urging a ban on cryptocurrency political donations. They pointed out that the expanding regulatory vacuum has left the Electoral Commission unable to trace the sources of millions in cryptocurrency flowing into UK politics.
This coordinated action is led by MPs Liam Byrne, Emily Thornberry, and Matt Western, chair of the Joint Committee on National Security Strategy. They are calling for a suspension of cryptocurrency donations to be included in the People’s Representation Bill, which was first read in the House of Commons on February 12, 2026, and had its second reading on March 2.
Concerns Over £12 Million Cryptocurrency Donation Prompt Action
At the heart of the controversy is a donation of approximately £12 million (around $9 million) from investor Christopher Harborne, linked to Tether, to the Reform UK party. This amount exceeds the total donations received by the Conservative Party in the same quarter, making it one of the largest individual political donations in the UK in recent years.
Liam Byrne, as one of the seven signatories, candidly pointed out the risks involved: “Cryptocurrency can obscure the true source of funds, allowing for thousands of small donations below disclosure thresholds, and exposing UK politics to foreign interference.”
The letter explicitly states that the People’s Representation Bill is the legislative tool for implementing restrictions. With the bill progressing through Parliament, the committee chairs believe there is a narrow but feasible window for action before the next election cycle arrives.
Electoral Commission Admits Inability to Trace Reform UK’s Cryptocurrency Donations
Perhaps the most striking news is the Electoral Commission’s own admission that it knows nothing about the Reform UK’s cryptocurrency donation mechanism. The regulator confirmed: “Reform UK has not shared any cryptocurrency wallet addresses with us.”
Without wallet addresses, the Commission cannot independently verify the source of the funds, the identity of the donors, or whether the donations comply with existing foreign funding restrictions. The regulator has acknowledged that even if it could access such information, it lacks the technical expertise to trace the sources of cryptocurrency donations.
The technological mechanism causing this information blind spot is Radom Pay, a payment processor registered in Poland, through which Reform UK processes cryptocurrency donations. As Radom Pay operates outside the oversight of the UK Financial Conduct Authority (FCA), the entire donation process falls outside the scope of domestic financial regulation.
Matt Western emphasized the urgency in the letter: “Nothing is more important than maintaining political trust. The pervasive notion that ‘politicians can be ‘bought’ with foreign funds’ is increasingly corrosive. Immediate action will help protect our politics from the taint of ‘dirty money.’ Inaction could land the UK in real trouble.”
Joint Committee on National Security Strategy’s Proposals and Next Steps
The Joint Committee on National Security Strategy (JCNSS) has proposed five specific regulatory recommendations aimed at addressing the regulatory gaps in cryptocurrency donations.