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.

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Geoffrey Howe dies, aged 88

Howe was Margaret Thatcher's longest serving Cabinet minister – and the man credited with precipitating her downfall.

The former Conservative chancellor Lord Howe, a key figure in the Thatcher government, has died of a suspected heart attack, his family has said. He was 88.

Geoffrey Howe was the longest-serving member of Margaret Thatcher's Cabinet, playing a key role in both her government and her downfall. Born in Port Talbot in 1926, he began his career as a lawyer, and was first elected to parliament in 1964, but lost his seat just 18 months later.

Returning as MP for Reigate in the Conservative election victory of 1970, he served in the government of Edward Heath, first as Solicitor General for England & Wales, then as a Minister of State for Trade. When Margaret Thatcher became opposition leader in 1975, she named Howe as her shadow chancellor.

He retained this brief when the party returned to government in 1979. In the controversial budget of 1981, he outlined a radical monetarist programme, abandoning then-mainstream economic thinking by attempting to rapidly tackle the deficit at a time of recession and unemployment. Following the 1983 election, he was appointed as foreign secretary, in which post he negotiated the return of Hong Kong to China.

In 1989, Thatcher demoted Howe to the position of leader of the house and deputy prime minister. And on 1 November 1990, following disagreements over Britain's relationship with Europe, he resigned from the Cabinet altogether. 

Twelve days later, in a powerful speech explaining his resignation, he attacked the prime minister's attitude to Brussels, and called on his former colleagues to "consider their own response to the tragic conflict of loyalties with which I have myself wrestled for perhaps too long".

Labour Chancellor Denis Healey once described an attack from Howe as "like being savaged by a dead sheep" - but his resignation speech is widely credited for triggering the process that led to Thatcher's downfall. Nine days later, her premiership was over.

Howe retired from the Commons in 1992, and was made a life peer as Baron Howe of Aberavon. He later said that his resignation speech "was not intended as a challenge, it was intended as a way of summarising the importance of Europe". 

Nonetheless, he added: "I am sure that, without [Thatcher's] resignation, we would not have won the 1992 election... If there had been a Labour government from 1992 onwards, New Labour would never have been born."

Jonn Elledge is the editor of the New Statesman's sister site CityMetric. He is on Twitter, far too much, as @JonnElledge.