{"id":7146,"date":"2026-03-03T06:18:39","date_gmt":"2026-03-03T06:18:39","guid":{"rendered":"https:\/\/cryptonews.uk.com\/?p=7146"},"modified":"2026-03-03T06:18:39","modified_gmt":"2026-03-03T06:18:39","slug":"labour-mp-urges-uk-to-ban-crypto-political-donations-over-foreign-interference-fears","status":"publish","type":"post","link":"https:\/\/cryptonews.uk.com\/?p=7146","title":{"rendered":"Labour MP Urges UK to Ban Crypto Political Donations Over Foreign Interference Fears"},"content":{"rendered":"<p><\/p>\n<div>\n<div id=\"blockquote-block_4819ae1a5458bf6061abc8b645cca88b\" class=\"blockquote-container\" style=\"border-color: #5100fc\">\n<div class=\"blockquote-text\">\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Former Labour minister Rushanara Ali has called for cryptocurrency donations to be banned in British politics, warning they pose a serious risk of foreign interference.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">She argued that crypto can be used to evade transparency rules and she planned to intervene when the UK elections bill comes back in front of MPs this week.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ali joins a growing number of Labour backbenchers who want crypto donations outlawed in the new legislation, until oversight of technologies like crypto and AI are possible.<\/span><\/li>\n<\/ul>\n<\/div>\n<\/div>\n<p>UK Labour MP Rushanara Ali has called for a complete ban on political donations via cryptocurrencies to prevent foreign interference in British elections.\u00a0<\/p>\n<p>The Labour backbencher\u2019s comments were made in relation to proposed changes to UK\u2019s voting and election laws under the Government\u2019s elections bill, formerly known as the Representation of the People Bill.<\/p>\n<p>Ali argued that crypto makes it possible to circumvent donation laws \u2014 which prohibit donations from foreign nationals \u2014 such as by using multiple digital wallets with different addresses, breaking up large donations into smaller sums via \u2018crowdfunding\u2019, and the use of privacy coins.\u00a0<\/p>\n<div id=\"blockquote-block_7c2979b373e4fa6aa883318794df6971\" class=\"blockquote-container variant-personal\">\n<div class=\"blockquote-text\">\n<p><em>Unless action is taken now, the threat of foreign interference in our democracy will grow. The government must include an amendment to this bill to close this loophole.<\/em><\/p>\n<\/div>\n<div class=\"blockquote-attribution\">\n        <img decoding=\"async\" class=\"author-image lazyload\" src=\"https:\/\/cdn.cryptonews.com.au\/2026\/03\/03160523\/Rushanara-Ali-UK-Labour-Party-MP.jpg\"\/><img decoding=\"async\" src=\"https:\/\/cdn.cryptonews.com.au\/2026\/03\/03160523\/Rushanara-Ali-UK-Labour-Party-MP.jpg\" class=\"author-image\" data-eio=\"l\"\/>        Rushanara Ali, UK Labour Party MP    <\/div>\n<\/div>\n<p>\u201cThe enemies of democracy are constantly looking at new ways to undermine our system,\u201d Ali told <em>The Guardian<\/em>. \u201cI urge ministers to go further to block the use of cryptocurrencies to funnel money into British politics.<\/p>\n<p>Ali joins a chorus of backbenchers who\u2019ve raised concerns about crypto donations. Seven senior Labour MPs who chair party committees penned an open letter in January 2026 to urge Prime Minister Keir Starmer to use the elections bill to make \u201cexplicit provision to disallow cryptocurrency donations to political parties and politicians.\u201d<\/p>\n<p>\u201cWhen technology makes foreign interference cheaper, faster and harder to trace, the answer isn\u2019t an open door. We have to bolt the door shut,\u201d Labour MP Liam Byrne said. \ufeff<\/p>\n<p><strong>Related:UK Lawmakers Push for Ban on Crypto Donations in Politics<\/strong><\/p>\n<p>The fact Ali has also spoken out is significant because she originally helped to draft the elections bill when she was still Minister for Homelessness and Democracy in 2025. Ali resigned from her Ministerial role amid a scandal in August 2025, when it was revealed she ousted tenants from a rental property she owned so that she could re-list it at a higher rent.\u00a0\u00a0<\/p>\n<h2 class=\"wp-block-heading\" id=\"h-crypto-and-foreign-influence-risks-to-uk-democracy\">Crypto and Foreign Influence Risks to UK Democracy<\/h2>\n<p>Crypto donations are currently legal in the UK. The first party to accept and receive crypto donations in 2025 was Nigel Farage\u2019s Reform party.\u00a0<\/p>\n<p>The broader issue of foreign interference is in the spotlight after former member of European Parliament in Wales, Nathan Gill, who was convicted on eight counts of bribery in 2025 \u2014 for taking money from a pro-Russian politician in the Ukraine to make pro-Russian statements.<\/p>\n<p>The UK Government subsequently launched an urgent review into foreign financial interference in UK politics, which is due to be finalised at the end of March. The review is focused on \u201cthe effectiveness of the UK\u2019s political finance laws, as well as the safeguards in place to protect our democracy from illicit money from abroad, including cryptocurrencies.\u201d\u00a0<\/p>\n<p>The new elections bill currently progressing through parliament aims to improve how parties undertake checks on the donations they receive\u2014 so-called \u2018Know your Donor\u2019 checks. Donation recipients would be required to consider the risk of donations being illegitimate or likely to represent foreign interference, and to keep records of risk assessments.\u00a0<\/p>\n<p><strong>Related:UK Lawmakers Hear Skepticism on Stablecoins as Lords Launch Regulation Inquiry<\/strong><\/p>\n<p>Anti-corruption organisation Transparency International UK said the bill also strengthened rules on company donations \u2014 designed to stop foreign donations being hidden in shell companies registered in the UK \u2014 but didn\u2019t go far enough to stop \u201cbig money\u201d donations.\u00a0<\/p>\n<p>\u201cLegislation to close the dark money loopholes in British politics is long overdue, and this bill takes some welcome steps. But it does not go far enough \u2014 either to achieve its stated ambitions or to contend with the biggest threats to our democracy,\u201d according to Duncan Hames, Director of Policy, Transparency International UK.<\/p>\n<p>Hames said the super-rich would still be able to buy political influence, which was a larger driver of low public trust in British politics.\u00a0<\/p>\n<\/p><\/div>\n<p>Cryptocurrency,Politics#Labour #Urges #Ban #Crypto #Political #Donations #Foreign #Interference #Fears1772518719<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Former Labour minister Rushanara Ali has called for cryptocurrency donations to be banned in British politics, warning they pose a serious risk of foreign interference.\u00a0 She argued that crypto can be used to evade transparency rules and she planned to intervene when the UK elections bill comes back in front of MPs this week. Ali<\/p>\n","protected":false},"author":1,"featured_media":7147,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[762,62,1119,1679,2108,2988,2987,764,1172],"class_list":{"0":"post-7146","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-bitcoin","8":"tag-ban","9":"tag-crypto","10":"tag-donations","11":"tag-fears","12":"tag-foreign","13":"tag-interference","14":"tag-labour","15":"tag-political","16":"tag-urges"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.6 (Yoast SEO v26.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Labour MP Urges UK to Ban Crypto Political Donations Over Foreign Interference Fears - Crypto News: Latest Cryptocurrency News and Analysis<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptonews.uk.com\/?p=7146\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Labour MP Urges UK to Ban Crypto Political Donations Over Foreign Interference Fears\" \/>\n<meta property=\"og:description\" content=\"Former Labour minister Rushanara Ali has called for cryptocurrency donations to be banned in British politics, warning they pose a serious risk of foreign interference.\u00a0 She argued that crypto can be used to evade transparency rules and she planned to intervene when the UK elections bill comes back in front of MPs this week. 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