Parties clash over political funding

Political funding was the order of the day at today’s Prime Minister’s Questions, as the parties fight over the Labour Party’s reputation following the scandal over trade union influence.

Labour leader Ed Miliband kicked off with the accusation that the Conservatives receive £25m funding from hedge funds and are owned by a “few millionaires”. Prime Minister David Cameron retorted that hedge funds do not try to influence Tory policy.

Pushing Cameron on his party’s big donors, Miliband proposed a £5,000 cap on donations, which Cameron rejected on the grounds that such a cap would imply “a massive amount of taxpayer support” for political parties.

Miliband reiterated his proposal to stop MPs from taking on new paid directorships or consultancies.