This report shows how to ensure a fair funding system which provides parties with the funds they require while assuring the public the system is irreproachable.

2002 saw a flurry of media stories questioning the motives behind large donations to political parties. These stories brought the funding of the parties into focus and have led to calls for reform of the current system.

This report aims to find areas of cross-party consensus and advocates some basic principles behind reform. 'This is a valuable and thought-provoking report. While not all of its conclusions will command acceptance, they should be thought about carefully by the Government before it proceeds to any reforms in the funding of political parties.'

-Professor Vernon Bogdanor, Brasenose College, Oxford.