Ukip to lose two thirds of state funding over Short Money cuts

Posted On: 
20th March 2016
Ukip is set to lose two thirds of the funding it receives from the state following cuts to so-called Short Money.

The party’s MP attacked the funding change as a “cosy deal” between “establishment parties”.

George Osborne announced last year he wanted to cut Short money by 19% but was forced to consult on the matter in the face of protestations from MPs.equivalent to the salaries of 20

Labour has said it would face a funding reduction of around £1.3m if the measures pass in the Commons - equivalent to the salaries of 20 staff.



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But Labour have agreed a deal which will mean the cuts to Short Money will now only be 5% across all parties instead of 19% as previously suggested.

The system for calculating how the money is given to parties with fewer  than six MPs will be changed.  

Under current rules, Ukip receives £670,000 but under the new rules, that will be cut to £210,000.

Mr Carswell said: “We welcome the reduction in taxpayer-funded politics. Ukip took a lead in this, rejecting around half a million pounds of taxpayers’ money last year.

“We are, however, dismayed that the establishment parties have colluded in a cosy deal to reallocate what we didn’t spend so they can spend it themselves. We believe all parties should follow our lead in taking less Short money than they are entitled to, as well as publishing details of what they do with it.”