Nigel Farage’s £5 million gift from cryptocurrency billionaire Christopher Harborne was reported to the National Crime Agency after bankers raised concerns about the source of the funds, according to a new Guardian investigation.
The revelation is likely to increase pressure on the Reform UK leader, who is already waiting to learn whether Parliament’s standards commissioner will investigate his failure to declare the multimillion pound gift.
The report comes as fresh questions continue to surround the payment, which was first revealed earlier this year. Farage has consistently argued that he was under no obligation to register the money because he was not serving as an MP when he received it and has insisted it played no role in his eventual decision to stand in the 2024 general election.
However, the latest claims focus not only on the declaration of the gift but also on concerns reportedly raised by the banking system before the transfer was completed.
According to financial industry sources cited by the Guardian, bank officials were unable to establish the ultimate source of the funds to their satisfaction. As a result, they submitted a Suspicious Activity Report, known as an SAR, to the National Crime Agency on 16 May 2024.
An SAR does not mean a crime has been committed or that anyone has done anything unlawful. It is a confidential report used by banks and other financial institutions to flag transactions they believe may require further examination by law enforcement.
The Guardian reports that Farage had not received the full £5 million when the report was submitted. Sources claim some of the money arrived only after he publicly announced on 23 May 2024 that he would not be standing for Parliament, declaring that it was “not the right time” to return to frontline politics.
The remaining transfers are said to have been completed shortly before Farage reversed that decision and announced he would contest the Essex seat of Clacton.
The timing has prompted renewed scrutiny over whether the payment had any bearing on his political comeback, something Farage has repeatedly denied.
The Reform UK leader has offered several explanations about the purpose of the money over recent months. At different times he has described it as funding for his lifelong personal security, compensation for his role in the Brexit campaign and an unconditional personal gift.
He has also dismissed questions about how the money might ultimately be used, arguing that it was a private matter.
In correspondence with the Guardian, Farage said he had not been aware that a Suspicious Activity Report had been submitted to the National Crime Agency. He also said he had no reason to question where the money originated and rejected suggestions that there was anything improper about the payment.
Farage further claimed that details relating to the transfer had been obtained unlawfully, although he did not provide evidence to support that allegation.
Harborne’s legal representatives reportedly declined to answer detailed questions about either the gift or the Suspicious Activity Report, instead requesting copies of documents held by the newspaper.
The latest disclosures also raise questions over Farage’s political status at the time the money was transferred. While he has maintained he was not active in politics, he became a person with significant control over Reform UK’s corporate entity on 1 May 2024, giving him effective control of the party. He had also served as Reform UK’s honorary president since 2021.
Banks are required to carry out enhanced checks on transactions involving politically exposed persons because they are considered to present a higher risk for corruption or financial crime. Transactions involving cryptocurrency wealth can also attract greater scrutiny because tracing the origin of digital assets can be more complex than conventional banking transfers.
Harborne previously told The Telegraph that the £5 million was intended to cover Farage’s security costs for the rest of his life. He also said that, at the time the money was given, he did not expect Farage to return to frontline politics.
The controversy has become one of the most serious political challenges Farage has faced in recent years. Even if he retains his parliamentary seat, questions over the gift and whether it should have been declared are expected to remain under investigation.