Ex-MPs launch court challenge against poll spend caps
Controversial political campaign donation laws and election spending limits are being challenged in Australia’s highest court; Independents argue that these laws are against them.
Former politicians Zoe Daniel and Rex Patrick sued the Supreme Court, claiming the reforms privileged major political parties over independents.
Court documents claim the reforms will allow major parties to dominate politics, suppress other voices and allow independent candidates to compete with candidates supported by major parties.
“The burden on the implied freedom is not justified,” the application states.
The reforms, which will take effect in mid-2026, cap donations to a party or candidate at $50,000 per person and an election spending cap of $800,000 per voter.
But since a donor can give $50,000 to each of their state, territory and federal branches, major parties will be able to receive donations of up to $450,000 per person.
Senate candidates can spend up to $200,000 per seat in their state or district; This means the cap ranges from $600,000 in the ACT to over $9 million in NSW.
But political parties can spend up to $90 million on public advertising nationwide.
Generic advertising, such as signs promoting the party rather than the candidate, does not count towards the local limit.
Independents argue this concentrates the field against them because they are limited by voter spending caps, where major parties can fill marginal seats with millions of dollars of mainstream advertising.
Former lawmakers are also fighting against restrictions on independent-targeted donors backed by fundraising groups such as Climate 200 from donating to more than five candidates in a state or district.
“This is not a reform, it is a rot,” Ms. Daniel said.
The legal filing argues that some parts of the laws exceed the appropriate restrictions on freedom of political communication implied in the constitution.
Special Secretary of State for Foreign Affairs Don Farrell argued that the reforms took big money out of politics, making political campaigns fairer and increasing transparency in spending.
He was contacted for comment on the application but had previously said the Commonwealth was awaiting a legal challenge.
Ms Daniel and Mr Patrick said they were considering running in the 2028 election and that the spending and donation limits were a “significant deterrent to running”.
After losing her seat to Liberal Tim Wilson in May, Ms. Daniel revealed she received a $6,000 payment from Climate 200 into a federal account with the stipulation that it be used if she runs in 2028.
The 74-page court filing revealed the phased funding vehicle promised to donate the maximum amount to Ms. Daniel each year until the next federal election, or more if lines are drawn.
Former Goldstein member disclosed spending just under $1.6 million in 2022 and almost $1.8 million in 2025 to unseat then-incumbent Mr. Wilson; both of these amounts exceeded the new limit.
Mr. Patrick has said he believes he needs to spend more than the cap to mount a competitive Senate campaign in the next election.
