EU parliament backs reform of party funding

MEPs have backed a proposed reform to the way pan-European political parties are financed.
 
Parliament's Brussels plenary overwhelmingly endorsed changes to the existing regulation on the rules and funding of parties such as the Party of European Socialists and European People's Party.

They approved a report on the issue by German socialist member Joe Leinen by 538 votes, with 74 against and 22 absentions.
 
Speaking at a news conference on Thursday, Leinen said the move will create "more transparency' in party funding arrangements.
 
He also believes that future emphasis on public, rather than private, funding of such parties will prevent the type of party funding scandal currently engulfing UK prime minister Gordon Brown.
 
Brown is coming under increasingly pressure over unlawful private donations from one of its wealthiest supporters.
 
Leinen, parliament's rapporteur on the funding issue, said that reform of the regulation were partly designed to tighten up the rules on donations to political parties.
 
Under the existing regulation, any individual donation of 500 euros or more has to be made public.
 
"It means that, in future, we will be able to control where the money is coming from and where it is going," he said.
 
"This is taxpayer's money we are talking about and there is always a danger  of a 'dark area' being created when a party receives private donations.
 
"The danger is that the donor will not be named or that the party will not divulge his or her details. This may lead to a sort of relationship of  'dependency' between party and donor.
 
"There has to be absolute transparency  and reform of the regulation contains a number of preventative measures against abuses."
 
Although he did not refer directly to the current UK funding scandal, he said, "Implementation of these changes will enable us to avoid the sort of arcane funding arrangements which currently exist in some countries."
 
Changes to the regulation, which also proposes the possible creation of European foundations, are due to come into force on 1 January 2008, subject to approval by member states next month. 

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