“Revealed: Tory donors who paid £7m to socialise with Theresa May”

Owl says: hedge funds expect to make squillions from Brexit.k

Jacob Rees-Mogg’s business partner, Brexit backers and wife of Putin minister among benefactor

Jacob Rees-Mogg’s business partner, a string of Brexit backers and the wife of a former senior minister to President Putin are among the Conservative donors who have paid more than £7m to socialise with Theresa May since the general election.

Eighty-one party benefactors have paid a total of £7.4m to the Conservative party for access to the prime minister at dinners, post-prime minister’s questions’ lunches and drinks receptions since July 2017, records show.

Party insiders say the large amount raised over just nine months from a single revenue stream is evidence that the Tories are aiming to be “election ready” for the autumn.

At least 10 of the donors, who joined the Leader’s Group for £50,000 a head, are supporters of a hard Brexit.

Dominic Johnson, who attended two of the group’s events in 2017, is the co-founder of Somerset Capital Management – an investment firm set up with Rees-Mogg, a hard Brexiter and the chairman of the European Research Group [ERG].

Somerset was recently reported to be warning its clients about “considerable uncertainty” as a result of Brexit, and set up a fund in Ireland, which benefits from EU financial passporting rights.

Sir Michael Hintze, the hedge fund billionaire who gave £100,000 to Vote Leave, is a familiar figure in Conservative circles and attended at least one dinner in 2017 with the prime minister, sources said.

Hardy McLain, a retired US hedge fund manager living in London, attended events in 2017 and 2018. He previously donated £20,000 to the Vote Leave campaign.

It is the first time since July 2017 that any details of dinner guests of May’s Leader’s Group have emerged. Their identities have been quietly released by the Conservatives this week.

Receiving campaign donations is a routine activity for politicians. But each gift carries with it a potential conflict of interest if the prime minister’s policies appear to benefit those who made the donations.

Edmund Truell, who attended dinners in 2017 and 2018, owns a Swiss-listed private equity business called Disruptive Capital, whose mission statement is to “exploit market uncertainty” to generate returns.

Only two women are among the Leader’s Group donors disclosed in the documents.

Lubov Chernukhin, whose husband, Vladimir, was the deputy finance minister of the Russian president, Vladimir Putin, was given access to the prime minister between last July and September. She has given £626,500 to the Tories since 2012, including £160,000 to play tennis with Boris Johnson and £30,000 to dine with the defence secretary, Gavin Williamson.

Alisa Swidler, a US philanthropist and friend of Bill Clinton who has given £336,686 to the party, also attended an event with May.

The party’s chief executive, the mining tycoon Sir Mick Davis, told a meeting of donors in September that the party needed to raise an additional £6m through the parliamentary cycle if it was to win the next general election.

The party spent £18.5m on last year’s election, when the Conservatives lost their working majority, compared with £11m by Labour. Sources told the Guardian the Tories are aiming for a 40% annual increase in the party’s budget – money that will be spent on up to 100 local campaign co-ordinators.

Records show that Lord Ashcroft, the former Conservative party treasurer who gave millions to the party under William Hague’s leadership but stopped donating during Cameron’s premiership, appears to be back in the fold and is a member of May’s leader’s Group. He was joined by the former government adviser and investor in payday loans, Adrian Beecroft.

May appears to bring cabinet members to each event. She was joined by Amber Rudd and the party chairman, Brandon Lewis, at events between the election and the end of September; the chancellor, Philip Hammond, and Boris Johnson, the foreign secretary, accompanied her to Leader’s Group meetings in the autumn; between January and April this year, May was joined by Johnson, Michael Gove, Liam Fox and four other cabinet ministers.

The Conservatives had not updated details of donors who attended events since July 2017. Cameron pledged to release donors’ data following an outcry over the Leader’s Group dinners and whether they were allowing the rich and powerful to buy access to the cabinet.

The documents were spotted this week by campaigners for a second referendum on membership of the EU. Chris Bryant, the MP for Rhondda and supporter of the People’s Vote campaign, said: “People will rightly be angry to see the government listen to Brexit donors in return for donations to the Tory party while denying the British public a vote on their deal.”


One thought on ““Revealed: Tory donors who paid £7m to socialise with Theresa May”

  1. As I have said before, and no doubt will have to say again, it is Jacob Rees-Mogg and the handful of Tory party donors who effectively govern this country.

    JR-M has simply stuck to his extreme Brexit position and made threats throughout the Brexit process and by so doing has effectively scuppered any sort of compromise agreement by the cabinet, presumably hoping that by doing this we will crash out with the No-Deal ultra-hard Brexit that he wants.

    It is well documented that Tory donors have threatened to refuse to make further donations if Tory policies are not what they want to see – which means that effectively it is the handful of ultra-rich Tory donors who are defining Tory party policy which means that they are defining Government Policy. (See also the National Planning Policy Framework, the Government policy about housing development which they outsourced to developers to write. A bit like allowing poachers to write the laws on gamekeeping.)

    Which is why I call Tory donors, “sponsors” or even “investors”. (If you are a £1BN-aire, and get a return on your £1BN of 5%, that gives you income of £50m a year. If your actual tax rate is 10%, that is £5m per year – so if you can lower the tax rate by 1% you stand to make £500k per year or £2.5m over a 5 year parliament. So if you make a (say) £250k donation to the Conservative Party election fund, that would be a return on investment of 1,000% over 5 years. Or 200% per annum. With our assumption that they make 5%, investing in the Conservative Party is 40x better than they can do elsewhere. Is it any surprise that they make these donations or “investments” when the potential return is so great?)

    Do you still think we live in a democracy? Or are you coming to the opinion that it is (still) the very rich who decide what happens?

    Conservatives – for the ultra-rich few (who can buy access to government) not the not ordinary, less-rich many (whose influence over government is being flushed down the toilet more every year).


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