Law passes to tighten political donations rules

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Legislation to tighten up laws on political donations and close a legal loophole exposed in a court case has passed its final hurdle in parliament.

The Electoral Amendment Bill reduces the threshold at which a donation to a party must be disclosed from $15,000 to $5000.

It will also redefine the definition of a political donation, to capture anything that could reasonably be believed to have been donated to benefit a party.

This follows the acquittal of two men in the New Zealand First Foundation case – which underscored the legality of shadow entities bankrolling political parties.

The legislation passed with support from Labour and the Greens – with National and the ACT Party opposed, and no votes recorded for Te Paati Māori.