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Standards inquiry into Farage's £5m gift restarts hours after Clacton win

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Standards inquiry into Farage's £5m gift restarts hours after Clacton win

The parliamentary standards watchdog has restarted its investigation into Nigel Farage's financial affairs hours after the Reform UK leader was returned as MP for Clacton, in a by-election he called himself and which rival parties condemned on Friday as needless and costly.

The website of the Parliamentary Commissioner for Standards, Daniel Greenberg, was updated on Friday to confirm the inquiry into a £5m gift to Farage from the cryptocurrency businessman Christopher Harborne is no longer suspended, according to PA Media. The investigation, opened on 13 May, was paused on 8 July when Farage resigned his seat, because the commissioner's jurisdiction applies to sitting MPs. His return to the Commons triggered its automatic resumption.

Farage held the Essex seat with 22,239 votes, a majority of 12,784 and a 62.82% share, up from a majority of 8,405 and 46.2% at the 2024 general election. Turnout was 44.37%, down by just over 14 points. The comedy candidate Count Binface finished second on 9,455 votes — his best result in six elections — and 32 of the record 34 candidates lost their deposits. The ballot paper, at 90cm, was the longest in UK electoral history.

Labour, the Conservatives and the Liberal Democrats did not field candidates, dismissing the contest as a stunt designed to neutralise scrutiny of Farage's finances. All three said the result settled nothing.

Labour's chair, Bridget Phillipson, said Farage had "spent 38 days fighting a bin in his most desperate attempt yet to deflect attention from the sleaze and scandals engulfing him and his party", adding that he "can't run from the truth forever". A Conservative spokesman called the vote "fake" and said: "Whatever the outcome on Friday, this stunt has not done that." Kemi Badenoch said last month her party would instead contest "the real by-election which will follow the Standards investigation".

The commissioner's inquiry concerns whether Farage should have registered the gift from Harborne, received in April 2024, months before he was elected. Commons rules require new MPs to declare gifts worth more than £300 received in the previous 12 months, unless the gift could not reasonably be thought by others to relate to their political activities. Farage and Reform maintain the money predated his election and did not require disclosure.

"I've broken no law, I've broken no tax law, I've taken no public money."

Speaking to GB News, Farage dismissed the resumption of the inquiry, saying: "Who cares, the voters of Clacton don't care." He added: "They will not call a second by-election here, they'd be stupid to do so." Sanctions available range from an apology in the Commons to suspension; a suspension of 10 sitting days or more can open a recall petition, which would force a further by-election if 10% of constituents signed.

Reform's chairman, Lee Anderson, said the "slate is wiped clean" in Clacton but that the party would "of course" co-operate with the inquiry.

Farage did not attend the count, saying police had warned of an "organised campaign to disrupt and degrade the result" and that he would not be "demeaned and humiliated by nobodies". Essex Police said it had mounted a "proportionate and robust policing operation", visited all 51 polling stations and recorded no incidents, and said attendance was "a decision for individuals and their security teams". ITV News understands no candidate was advised not to attend. A billed speech in Clacton on Friday morning was cancelled.

Binface said he was "the winning candidate of the candidates who bothered to turn up".

Tendring District Council's chief executive, Ian Davidson, told BBC Radio 4's Today the poll was expected to cost about £250,000, with the 34-candidate ballot roughly four times the cost of a general election contest. Most, but not all, would be reimbursed by government. Reform's offer to cover the bill was rejected in July.

Parliament returns from recess on 1 September.

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