Sir Keir Starmer's party has earned a record £6.4 million from private donations in just three months. Photo: Labor Party
Labor risks £5 million will hit its campaign coffers as legal costs skyrocket in an antisemitism claim against five former employees.
At Tuesday's hearing, the party will learn how much it will have to pay if it loses the case, which is expected to happen next summer. A negative result could seriously undermine its finances and reopen internal divisions ahead of the autumn election.
Labour is suing five former officials who worked for Jeremy Corbyn, including Seamus Milne, his communications chief with the public, and Carey Murphy, his chief of staff.
Georgie Robertson, Laura Murray and Harry Hayball, former aides to the former Labor leader, are three other former staffers facing legal action.
Labour claims staffers leaked an internal report about the party's failure to handle antisemitism cases. All five have denied publishing the document.
Cary Murphy and Jeremy Corbyn, pictured in 2017 Photo: Dominic Lipinski/PA < p>Both sides will appear at a preparatory hearing in the High Court on Tuesday, when the judge will schedule a full hearing and set expected costs.
The Telegraph understands Labor's lawyers are arguing they need more time. and should be brought forward from next summer to early 2025.
This will mean that if the party loses the case, the significant legal costs will not fall until it holds a general election.< /p>< p>The delay will also allow Labor to avoid having to campaign amid court disputes that risk reopening the rift between left and center.
Labour, which recently raised a record £6.4 million in private donations in just filed a case three months later after he was sued by nine anti-Semitism whistleblowers whose identities were revealed in a leaked report.
He is defending the lawsuit and has filed a counterclaim against five former employees who are accused of involvement in the abuse, meaning they will pay for any damages.
An 850-page document on antisemitism, drawn up as an equality watchdog but never lodged, was leaked shortly after Sir Keir Starmer took over as Labor leader.
The Equality and Human Rights Commission later found the party was responsible for “unlawful acts of persecution and discrimination” against Jews.
Earlier in this month, the original nine applicants withdrew their case. It is unclear whether they have reached an out-of-court settlement with Labor.