The British government announced on Monday a package of electoral finance reforms that will compel political candidates to declare donations above £2,230 received before they formally stand for office and to prove that such funding came from legitimate sources. The measures, unveiled by the Ministry of Housing, Communities and Local Government, form part of a wider response to the independent Rycroft Review, which was commissioned after a former Reform UK politician was jailed for accepting bribes to make pro-Russia speeches. According to the government, the review found that Britain faces a persistent problem of foreign states—specifically Russia, China and Iran—attempting to influence and undermine the country’s democratic processes.

The new rules introduce a residency test for large donations: individuals who move to the United Kingdom from abroad must now be permanently resident for at least one year before they can make a political contribution of £100,000 or more. Company donations will be assessed against post-tax profits over the previous five years rather than gross revenue, a change that officials say will ensure only businesses with a genuine UK link and sufficient economic substance can donate. The package also builds on measures announced in March, which capped annual donations from Britons living overseas at £100,000 and imposed a ban on cryptocurrency contributions until a regulatory framework is in place.

The tightening of rules coincides with an investigation by the parliamentary standards watchdog into Nigel Farage, the leader of the anti-immigration Reform UK party. The inquiry concerns a £5 million donation from Christopher Harborne, a Thailand-based cryptocurrency billionaire, which was made before Farage declared his candidacy for parliament. Reform UK, which has led national opinion polls for more than a year, has stated that no rules were broken, noting that Harborne provided roughly two-thirds of the party’s funding last year according to Electoral Commission data. Farage was separately referred to the standards body on Sunday over a report that he failed to declare other benefits.

Housing Minister Steve Reed said the reforms would “shut down dodgy funding, stop foreign money influencing our elections and keep our democracy strong.” Viewed from London, the package represents an effort to close loopholes that allowed pre-candidacy funding to go undisclosed and to align company donation rules with actual economic activity. The government has indicated that it will implement all remaining recommendations of the Rycroft Review through amendments to the Representation of the People Act, with legislation expected to be introduced in the current parliamentary session.