View all newsletters
Sign up to our newsletters

Support 110 years of independent journalism.

  1. Politics
19 February 2015updated 24 Jul 2021 2:11pm

Labour’s biggest non-union donation is from PwC – a firm accused of “promoting tax avoidance“

The latest party donation figures show the Labour party's biggest donation, aside from the unions, is in staff secondments from the huge accountancy firm slammed by the Public Accounts Committee.

By Anoosh Chakelian

Rather embarrassing news for Labour after a good run at keeping the tax shenanigans of the wealthy in the news. It turns out the largest donation the party received from a non-union donor in October-December last year was from PwC. The accountancy giant gave the party £386,605. This wasn’t a cash donation, but a donation of staff secondments who do analysis and research for the party in the absence of access to the civil service. As both Labour and PwC point out, the secondees are impartial.

This is pretty awkward for the party, not only because the firm is known for its tax expertise, but also due to recent accusations from the Public Accounts Committee. The committee chair and Labour MP Margaret Hodge told the BBC at the beginning of this month that Labour shadow cabinet ministers, such as Ed Balls, Chuka Umunna, and Rachel Reeves, receiving assistance from the firm is “inappropriate”.

She was speaking on the day that her committee produced a report accusing the firm of “the promotion of tax avoidance on an industrial scale”. PwC disagreed with this analysis but did comment that the UK tax system is “too complex”.

Here are the donation figures, published by the Electoral Commission:

Select and enter your email address Your weekly guide to the best writing on ideas, politics, books and culture every Saturday. The best way to sign up for The Saturday Read is via saturdayread.substack.com The New Statesman's quick and essential guide to the news and politics of the day. The best way to sign up for Morning Call is via morningcall.substack.com Our Thursday ideas newsletter, delving into philosophy, criticism, and intellectual history. The best way to sign up for The Salvo is via thesalvo.substack.com Stay up to date with NS events, subscription offers & updates. Weekly analysis of the shift to a new economy from the New Statesman's Spotlight on Policy team. The best way to sign up for The Green Transition is via spotlightonpolicy.substack.com
  • Administration / Office
  • Arts and Culture
  • Board Member
  • Business / Corporate Services
  • Client / Customer Services
  • Communications
  • Construction, Works, Engineering
  • Education, Curriculum and Teaching
  • Environment, Conservation and NRM
  • Facility / Grounds Management and Maintenance
  • Finance Management
  • Health - Medical and Nursing Management
  • HR, Training and Organisational Development
  • Information and Communications Technology
  • Information Services, Statistics, Records, Archives
  • Infrastructure Management - Transport, Utilities
  • Legal Officers and Practitioners
  • Librarians and Library Management
  • Management
  • Marketing
  • OH&S, Risk Management
  • Operations Management
  • Planning, Policy, Strategy
  • Printing, Design, Publishing, Web
  • Projects, Programs and Advisors
  • Property, Assets and Fleet Management
  • Public Relations and Media
  • Purchasing and Procurement
  • Quality Management
  • Science and Technical Research and Development
  • Security and Law Enforcement
  • Service Delivery
  • Sport and Recreation
  • Travel, Accommodation, Tourism
  • Wellbeing, Community / Social Services
Visit our privacy Policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications.
THANK YOU

Click on table to enlarge

A Labour spokesperson commented:

PwC have provided long standing staff support to all three major political parties on a non-party basis, as happened for the Conservatives and Lib Dems before the last election. Given the complexity of government decisions in areas such as tax policy – and that opposition parties do not have significant access to civil servants – the support provided by organisations such as these helps ensure that there is better scrutiny of government policy. Secondees do not influence opposition policy decisions. Where organisations provide staff to support research and analysis for opposition parties it is right that these are declared – as currently happens – in the Register of Members’ Interests

Nevertheless, if the tax avoidance row rumbles on, this donation will give the Conservative party a response to Labour’s accusations about Tory donors.

Doubly tricky for Labour is that it actually accepted a higher amount than the Tories did in the fourth quarter of 2014. Adding up public funds to donations excluding public funds, Labour accepted £10,888,480 to the Tories’ £8,365,141. This somewhat undermines Labour politicians’ claims that they will be outspent by the Conservatives this election.

Content from our partners
The promise of prevention
How Labour hopes to make the UK a leader in green energy
Is now the time to rethink health and care for older people? With Age UK

Select and enter your email address Your weekly guide to the best writing on ideas, politics, books and culture every Saturday. The best way to sign up for The Saturday Read is via saturdayread.substack.com The New Statesman's quick and essential guide to the news and politics of the day. The best way to sign up for Morning Call is via morningcall.substack.com Our Thursday ideas newsletter, delving into philosophy, criticism, and intellectual history. The best way to sign up for The Salvo is via thesalvo.substack.com Stay up to date with NS events, subscription offers & updates. Weekly analysis of the shift to a new economy from the New Statesman's Spotlight on Policy team. The best way to sign up for The Green Transition is via spotlightonpolicy.substack.com
  • Administration / Office
  • Arts and Culture
  • Board Member
  • Business / Corporate Services
  • Client / Customer Services
  • Communications
  • Construction, Works, Engineering
  • Education, Curriculum and Teaching
  • Environment, Conservation and NRM
  • Facility / Grounds Management and Maintenance
  • Finance Management
  • Health - Medical and Nursing Management
  • HR, Training and Organisational Development
  • Information and Communications Technology
  • Information Services, Statistics, Records, Archives
  • Infrastructure Management - Transport, Utilities
  • Legal Officers and Practitioners
  • Librarians and Library Management
  • Management
  • Marketing
  • OH&S, Risk Management
  • Operations Management
  • Planning, Policy, Strategy
  • Printing, Design, Publishing, Web
  • Projects, Programs and Advisors
  • Property, Assets and Fleet Management
  • Public Relations and Media
  • Purchasing and Procurement
  • Quality Management
  • Science and Technical Research and Development
  • Security and Law Enforcement
  • Service Delivery
  • Sport and Recreation
  • Travel, Accommodation, Tourism
  • Wellbeing, Community / Social Services
Visit our privacy Policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications.
THANK YOU