Defence Secretary Wes Streeting is under scrutiny over donations amounting to £37,500 received from the pressure group Labour for the Long Term (LLT) during 2022 and 2023. The controversy arises from the connection between LLT’s founder, David Lawrence, and Sam Bankman-Fried, the former cryptocurrency exchange founder who was sentenced to 25 years in prison in 2024 for defrauding investors and customers of FTX.
Court documents reveal that Lawrence accepted a £500,000 donation from Bankman-Fried in mid-2022, shortly before LLT made its initial contribution to Streeting’s office. Streeting, who was Labour’s shadow health secretary at the time, received the donations as a “donation in kind,” with LLT funding the £2,500 monthly salary of a policy adviser, Dr Thomas Gardiner, a general practitioner seconded to Streeting’s team for two days per week.
Foreign nationals are prohibited from making personal donations to UK political parties, but donations can be accepted if routed through UK-based organizations. LLT, which registered its website on June 20, 2022, is a UK-based entity, allowing it to provide such support.
David Lawrence has stated that the £500,000 received from Bankman-Fried was donated to UK charities and was not used to fund LLT activities. He condemned Bankman-Fried’s criminal conduct and maintained that he was unaware of any illegal activity until it became public knowledge. Lawrence was selected as the Labour candidate for Basingstoke in December 2022, after LLT’s donations began supporting Streeting, but he later withdrew from the candidacy for personal reasons.
The Conservative opposition has called for transparency regarding the source of Streeting’s donations and any potential links to Bankman-Fried. Alex Burghart, Tory shadow chancellor of the Duchy of Lancaster, said Streeting must clarify the origins of the funds and any association with Bankman-Fried, emphasizing the public’s right to full disclosure.
A spokesperson for Defence Secretary Streeting said that thorough due diligence was conducted before accepting the donations. This process included obtaining a list of LLT’s funders, which did not include any individuals connected to Bankman-Fried. Similarly, a Labour Party representative confirmed that the party conducted its own due diligence checks before receiving the donations and found no issues.
The situation highlights ongoing concerns about the transparency and regulation of political donations in the UK, particularly when linked to figures involved in foreign financial scandals. Streeting has not indicated any intention to return the donations or take further action pending the outcome of any investigations.