Tories receive more than £1m from donor dinner guests

The latest donation figures show the party was given £1.04m from donors who attended private dinners with David Cameron and other senior Conservative ministers.

The Tories were unsurprisingly quick to go on the attack after the latest political donation figures showed that the trade unions were responsible for 77 per cent (£2.4m) of payments to Labour in quarter two. Conservative chairman Grant Shapps declared: 

Despite Ed Miliband’s promise of change, these independent figures prove his Labour Party is still dominated by the trade unions. They choose the candidates, pick the leader and remain Labour’s biggest donors - providing three quarters of the Party's money.

Until Ed Miliband stops taking his union paymasters’ cash, he will be too weak to stand up for hardworking people. Instead, he can only offer what the union barons want in return for their money - the same old Labour policy of more spending, more borrowing and more debt, exactly what got us into this mess in the first place.

And it's hardworking people who would pay the price with higher mortgage rates and higher bills.

But the Labour machine has now swung into action, with the party revealing that the Tories received £1,042,970.93 in the last quarter from donors who attended private dinners with David Cameron and other senior Conservative ministers. Of this total, £694,370 was from donors in the financial sector, including investment banker James Lupton, and hedge fund managers David Harding, Michael Farmer and Neil Ostrer

Sadiq Khan said: 

The Tories have raked in over £1 million from private dinners with David Cameron and senior Ministers in the last quarter. And more than two thirds of that comes from the City – the bankers and hedge fund bosses whose taxes David Cameron cut.

Hardworking families are seeing their living standards squeezed, with prices rising faster than wages. Meanwhile David Cameron shows how out of touch he is, standing up for the millionaires who fund his party.

It's nearly two months since David Cameron promised to publish the results of Lord Gold's inquiry into the Tories' dinners for donors. We're still waiting. It's time for him to come clean.

Ed Miliband has called for a cap of £5,000 on all donations (including those from trade unions) but with no sign of a cross-party deal in sight, the concern in Labour remains that his union reforms will gift the Tories a significant funding advantage. Party officials expect around 10 per cent of the 2.7 million political levy payers to affiliate themselves to Labour, which would see the party's income from this source fall from £8m to less than £1m. 

David Cameron waits for the arrival of Emirati Crown Prince of Abu Dhabi Mohammed bin Zayed al-Nahyan ahead of a meeting at 10 Downing Street on July 15, 2013. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Photo: Getty
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The big problem for the NHS? Local government cuts

Even a U-Turn on planned cuts to the service itself will still leave the NHS under heavy pressure. 

38Degrees has uncovered a series of grisly plans for the NHS over the coming years. Among the highlights: severe cuts to frontline services at the Midland Metropolitan Hospital, including but limited to the closure of its Accident and Emergency department. Elsewhere, one of three hospitals in Leicester, Leicestershire and Rutland are to be shuttered, while there will be cuts to acute services in Suffolk and North East Essex.

These cuts come despite an additional £8bn annual cash injection into the NHS, characterised as the bare minimum needed by Simon Stevens, the head of NHS England.

The cuts are outlined in draft sustainability and transformation plans (STP) that will be approved in October before kicking off a period of wider consultation.

The problem for the NHS is twofold: although its funding remains ringfenced, healthcare inflation means that in reality, the health service requires above-inflation increases to stand still. But the second, bigger problem aren’t cuts to the NHS but to the rest of government spending, particularly local government cuts.

That has seen more pressure on hospital beds as outpatients who require further non-emergency care have nowhere to go, increasing lifestyle problems as cash-strapped councils either close or increase prices at subsidised local authority gyms, build on green space to make the best out of Britain’s booming property market, and cut other corners to manage the growing backlog of devolved cuts.

All of which means even a bigger supply of cash for the NHS than the £8bn promised at the last election – even the bonanza pledged by Vote Leave in the referendum, in fact – will still find itself disappearing down the cracks left by cuts elsewhere. 

Stephen Bush is special correspondent at the New Statesman. He usually writes about politics.