Political funding is a controversial issue because there are different types of funding sources for political parties, including membership dues, donations from wealthy individuals and corporations, and public funding. Regulations have been put in place to increase transparency around political donations due to concerns about influence over policy decisions. Labour Party membership has fallen to its lowest level in over 100 years, contributing to its large debts and precarious financial position.

1. Why is the issue of Funding
so controversial in Politics?
L/O: to establish the different
types of funding and to see why it
can be so controversial.

2. What does this source tell us about
the state of political funding?
“ Labour Party membership falls to lowest level since it was
founded in 1900!
Labour membership has fallen to the lowest level in the
party's 108-year history.
The collapse in Labour's grassroots membership numbers has
contributed to its precarious financial position, with the party still £18
million in debt despite slashing its staff and spending.
In an official submission to the Electoral Commission, Labour admitted
that its membership at the end of 2007 was 176,891.”
 Source 1
http://www.telegraph.co.uk/news/newstopics/politics/2475301/Labou
r-membership-falls-to-historic-low.html
 By James Kirkup and Rosa Prince
Published: 7:04PM BST 30 Jul 2008

3. BERNIE ECCLESTONE
 Donated 1 million
pounds to the Labour
Party.
 Tobacco sponsorship
of racing.

4. Political Funding
 Where do political parties get their funding
from?
 What differences are there between the
parties and the type of funding they
receive?
 What measure have been put in place to
regulate donations to parties and why has
this happened?