Brown to rely on business contacts for fundraising

Political donations: Gordon Brown will not appoint a personal fundraiser to solicit big donations for Labour from wealthy individuals…

Political donations:Gordon Brown will not appoint a personal fundraiser to solicit big donations for Labour from wealthy individuals, as Lord Levy did for Tony Blair, it emerged yesterday.

Instead, the new British prime minister is expected to rely on a network of close business contacts in the City to encourage people sympathetic to his administration to come forward with financial support. The first signs that Mr Brown's accession may spark a new wave of donations to Labour came yesterday with the news that four leading businessmen have made gifts totalling more than half-a-million pounds in the past few weeks.

Among the donors is Sir Ronald Cohen, a prominent figure in the private equity field and well-known supporter of Mr Brown, who is expected to play a leading role in encouraging the development of a network of Labour donors in the City.

A senior Labour source told the Financial Times: "Ronnie is a long-standing friend and supporter of Gordon. Others are in the same boat. As they talk to friends and network, as people do, we're hoping others will come forward." While they will not in themselves go far towards filling the war chest needed to fight a general election within two years or less, the new donations will help ease the financial difficulties Labour has suffered as a result of a dip in individual gifts in the wake of the cash-for-honours inquiry.

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But they may raise eyebrows among the trade unions, who have mounted a campaign for increased regulation of private equity firms.

The four businessmen who each gave Labour up to £250,000 (€372,000) are Sir Ronald, the founder of Apax Partners; venture capitalist Nigel Doughty; former Goldman Sachs partner Jon Aisbitt; and internet betting tycoon Peter Coates . - (PA)