We should be upset that the most extravagant social event of the year has been cancelled

ARK galas can raise as much as £26m in one night. Why are we storming the Bastille?

“It was all getting to feel a little bit 1788 and all that”. So said somebody connected with the opulent ARK gala in this week’s Financial Times. In one fell swoop, a symbolic link was drawn between Louis XVI’s pre-revolution balls at the Palace of Versailles and the annual ARK charity gala – thought of as the most extravagant social event of the year – that has this year been cancelled.

Just to give you a taste of this extravagance, previous ARK galas have been hosted in Kensington Palace Gardens and London Waterloo’s former Eurostar terminal, which was decked out with mature trees to resemble a woodland grove. Guests – mostly made up of "A-Listers" and financiers – have been entertained by Madonna, Bill Clinton and Prince, while served Krug and lobster. And the auction is another thing entirely – no homemade hampers here – prizes have ranged from a private dinner with Mikhail Gorbachev and yoga with Sting to a week on a private superyacht.

All the money from the gala – which has topped £100 m over the years – is donated to ARK (Absolute Return for Kids), a charity founded by Arpad “Arki” Busson, one of the country’s most successful hedge fund managers.

So it is little wonder that such an annual ostentatious gaiety has been cancelled. Such irresponsible illustrious in an age of austerity. Displays of excess while the remainder of the country is bordering on recession, claim most of the news stories, is not a good image.

But this is ignoring the wider point, which is raising money for charity is hard enough in these times. There is a simple rule: the more extravagant the party, the more money is raised. Besides, persuading wealthy individuals to part with their cash is no easy feat, so what if it takes Krug, Clinton and Madonna to entice wallets and purses to open.

In this, the hedge funds are leading the way. Chris Hohn is one of the UK’s most generous philanthropists having donated over £800m; his Children's Investment Fund Foundation receives direct grants from his hedge fund of the same name. Two other philanthropic arms of hedge funds – Tudor Investment Corporation and Tiger Management – accounted for about £110m in 2010 according to research by the Alternative Investment Management Association.

Then there are the parties, which – as the ARK gala has shown – can raise as much as £26m in one night. So, regardless of the 1 per cent vs. austerity, these types of events are crucial for charities and, unlike 1788, there will be no storming of the Bastille.

Kate Middleton at last year's ARK gala. Photograph: Getty Images

Oliver Williams is an analyst at WealthInsight and writes for VRL Financial News

Photo: Getty
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Which CLPs are nominating who in the 2016 Labour leadership contest?

Who is getting the most CLP nominations in the race to be Labour leader?

Jeremy Corbyn, the sitting Labour leader, has been challenged by Owen Smith, the MP for Pontypridd. Now that both are on the ballot, constituency Labour parties (CLPs) can give supporting nominations. Although they have no direct consequence on the race, they provide an early indication of how the candidates are doing in the country at large. While CLP meetings are suspended for the duration of the contest, they can meet to plan campaign sessions, prepare for by-elections, and to issue supporting nominations. 

Scottish local parties are organised around Holyrood constituencies, not Westminster constituencies. Some Westminster parties are amalgamated - where they have nominated as a bloc, we have counted them as their separate constituencies, with the exception of Northern Ireland, where Labour does not stand candidates. To avoid confusion, constitutencies with dual language names are listed in square [] brackets. If the constituency party nominated in last year's leadership race, that preference is indicated in italics.  In addition, we have listed the endorsements of trade unions and other affliates alongside the candidates' names.

Jeremy Corbyn (11)

Clwyd West (did not nominate in 2015)

Folkestone & Hythe (nominated Andy Burnham in 2015)

Kensington & Chelsea (nominated Jeremy Corbyn in 2015)

Lancaster & Fleetwood (nominated Andy Burnham in 2015)

Liverpool West Derby (nominated Andy Burnham in 2015)

Leeds North West (nominated Jeremy Corbyn in 2015)

Milton Keynes North (did not nominate in 2015)

Milton Keynes South (did not nominate in 2015)

Newark (did not nominate in 2015)

Reading West (did not nominate in 2015)

Reigate (nominated Yvette Cooper in 2015)

Owen Smith (3)

Reading East (did not nominate in 2015)

Richmond Park (nominated Jeremy Corbyn in 2015)

Westminster North (nominated Yvette Coooper in 2015)