Leading Labour party donors have threatened to pull out if Corbyn wins the leadership election, branding him ‘economically illiterate’ and a ‘dead horse’.
Businessman John Mills, Labour’s biggest individual funder, had previously been the only big name donor to publically denounce Corbyn after he came out last month to say that a Corbyn victory would lead to an SDP-style split in the party. He also predicted that donations from fellow wealthy supports were likely to dry up if the party shifted further left.
Labour leadership: The Contenders
Labour leadership: The Contenders
1/4 Jeremy Corbyn
Jeremy Corbyn readily admits he is only standing to ensure the left of the party is given a voice in a contest dominated by candidates promising to move the party towards the centre-ground of British politics
Profiles by Matt Dathan
2/4 Andy Burnham
Andy Burnham is the current front-runner to win the leadership election according to bookmakers, but the fact that the Conservative party leadership hopes he wins shows the task that awaits if he is Ed Miliband’s successor. He will have to find a way of distancing himself from both the last five years under Mr Miliband and the Blair and Brown years, during which he served in the Cabinet
3/4 Yvette Cooper
Yvette Cooper will also face a battle in convincing voters she offers a sufficient break with the past, having served in Gordon Brown’s Cabinet and she played a key role in Mr Miliband’s team as shadow home secretary. The fact that her husband is Ed Balls will not have a negative impact internally but voters are not likely to look favourably on the prospect of Mr Miliband’s ousted shadow chancellor entering Downing Street if Ms Cooper wins in 2020
4/4 Liz Kendall
Liz Kendall faces criticism over her lack of experience – she was only elected in 2010 and has no experience of serving in government and wasn't even in Ed Miliband’s shadow cabinet. But that very lack of experience means she can make a pitch as the only candidate offering real change and a real break from the Blair/Brown/Miliband years
His predictions have now been confirmed after Assem Allam, the multi-millionaire owner of Hull City football club, who recently donated over half a million pounds, attacked the party for missing the ‘message’ from voters that left leaning policies do not lead to success at the ballot box. Allam has also pledged to stop giving money if Mr Corbyn becomes Labour leader, saying: ‘I never back a dead horse’. He argued that supporters would be ‘insane’ to pick a leader who is to the Left of Ed Miliband, warning that the recent election defeat showed ‘the nation says no to left-wing Labour’.
Insurance mogul Richard Brindle, another leading donor, who donated a six figure sum while Ed Miliband was party leader, has also ruled out any further donations should Mr Corybn be victorious on 12 September. He argued that Corbyn was ‘economically illiterate’ and that his policies were ‘not a realistic platform’.
It’s not all bad news for the current front runner as Stefanos Stefanou, who has given almost £200,000 to the party, said he would continue donating to the party whatever the outcome. He did however add ‘You cannot tax businesses to the extent that you destroy them. There has to be a medium somewhere.’
If these leading Labour donors were to pull out and Corbyn be unable to attract other big donors, the party would be almost entirely dependent on trade union funding.Reuse content