Il Nuovo Postiglione - UK's Farage under the cosh over undeclared finances

The right-wing firebrand has enjoyed a first two years in the Westminster parliament, leading Reform to the top of opinion polls while posing countless problems for the ruling Labour party.

But the 62-year-old, known for his role in persuading Britons to leave the European Union, is now the subject of intense scrutiny over the alleged non-disclosure of gifts.

Farage has denied wrongdoing, but his attempts to defend his financial arrangements in interviews have only poured fuel on the fire, while he has halted his weekly press conferences.

"He's on the back foot," Tim Bale, a political analyst at Queen Mary University of London, told AFP.

- Investigation -

In May, the parliament's anti-sleaze watchdog announced it would probe Farage over the non-disclosure of a £5 million ($6.6 million) donation from Thailand-based crypto-currency billionaire Christopher Harborne.

Farage has insisted that he did not need to declare the money because it was a personal gift to pay for his own security -- a claim that Harborne, a major Reform donor, corroborated.

He has also suggested it was a "reward" for campaigning for Brexit and told broadcaster LBC he could "spend it on Ferraris" if he wanted.

"His reaction, for someone who's normally pretty canny when it comes to the media, is extraordinarily counterproductive," said Bale.

"He comes over as snippy and as someone who's got something to hide, which is never a good look."

The Guardian newspaper, which revealed Harborne's donation, said it was received weeks before Farage was elected an MP at the July 2024 general election.

New MPs are supposed to register any money they received in the 12 months before their election unless it cannot be "reasonably" seen as linked to political activities.

It is unclear when Daniel Greenberg -- the parliamentary commissioner for standards, who investigates alleged breaches of the MPs' code of conduct and registers -- will rule on his findings.

If found to have breached the rules, Farage could face sanctions including a suspension from the House of Commons.

That could trigger a so-called recall petition by which an MP can lose their seat if 10 percent of voters in the constituency sign it.

Farage would be allowed to stand in the resulting by-election for the Clacton constituency in southeast England if he wished.

Far-right alternative Restore Britain would seek "to win" the seat if there is a vote, its leader Rupert Lowe told AFP on Monday.

- Could Farage quit? -

The Sunday Times published allegations this weekend that convicted fraudster George Cottrell paid for Farage's security and staff who worked on his social media shortly before he became a member of parliament.

Cottrell, a 32-year-old crypto entrepreneur from an aristocratic family, pleaded guilty to wire fraud in the United States in 2017 and was jailed for eight months.

Farage said in a statement late Sunday that he "followed the rules" and claimed it is "now clear the establishment will stop at nothing to hurt Reform".

The centrist Liberal Democrats have asked Greenberg to probe the new allegations.

Labour MPs have asked him to investigate separate claims that Farage failed to adequately declare property interests and improperly lobbied the Bank of England over cryptocurrency plans.

Reform have led national polls for over a year, but recent surveys suggest they have fallen from over 30 percent support to about 25 percent, with their previous double-digit lead over Labour now down to just five percent.

The anti-immigration party has failed to win two parliamentary by-elections this year, halting its momentum.

Analysts blame poor vetting of candidates, Farage's admiration for US President Donald Trump and his recruitment of several Conservative party MPs.

Speculation is rife in Westminster that Farage could walk away from frontline politics. He stood down as Reform leader in 2021 before later returning.

"Could Farage quit?" the left-leaning Guardian newspaper asked in a recent headline.

"Farage's future thrown into doubt as Reform sent into panic by fresh allegations" said the Independent.

Spokespeople for Farage did not respond to requests for comment from AFP.

F.S.Ferrari--INP