Victoria has reestablished its political donation laws after Labor secured crossbench support to fast-track legislation through parliament early on Friday, even as the Coalition and independents threatened a High Court challenge.
The nation’s top court threw out the state’s campaign finance rules on April 15 in a case brought by two former independent candidates, leaving Victoria without donation laws ahead of November’s state election.
The Allan government secured support from crossbench MPs to pass the new laws during an all-night sitting of parliament that finished just after 5am on Friday.
The laws cap donations at $7500 per donor each four-year electoral cycle, and require all donations of $1250 or more to be disclosed.
New parties and independent candidates will have a higher cap of $15,000, to help level the playing field with incumbents.
Foreign donations will also be banned once again.
April’s High Court ruling stemmed from exemptions that allowed investment funds known as “nominated entities” to provide unlimited support to the Labor, Liberal and National parties, which the independents argued gave them an unfair advantage.
The Coalition did not support the new laws and said donations rules should also apply to affiliation fees that trade unions pay to be members of the Labor Party.
“The passage of the Electoral Further Amendment Bill 2026 represents a shameful attempt by Labor to rig the system in their own favour,” shadow attorney-general James Newbury said on Friday.
“These dodgy new laws shut off money from Labor’s political opponents whilst continuing the rivers of gold from the CFMEU and the unions to the Labor Party.”
Newbury said the Coalition was considering its legal options. West Party founder Paul Hopper, one of the litigants who successfully had the previous laws ruled unconstitutional, has also flagged another legal challenge.
Under the rules, Labor and the Coalition will need to return unspent funds transferred from their nominated entities to their campaign accounts between November 25, 2018 and April 18 this year, but not funds they have already spent.
Patrick Hatch is transport reporter at The Age and a former business reporter.Connect via X or email.
