Reform UK MP James McMurdock has relinquished the party whip amid allegations concerning business conduct, the party has confirmed.
Chief Whip Lee Anderson stated that McMurdock, representing South Basildon and East Thurrock, has “removed the party whip from himself” pending an investigation into allegations recently published by The Sunday Times.
“At Reform UK, we address such matters with utmost seriousness, and James has committed to fully cooperating with any inquiry,” Anderson stated.
Reform UK has indicated it will conduct an internal investigation into the allegations.
McMurdock has asserted that his business dealings “have consistently been conducted in full compliance with the law” and “adhering to all applicable regulations.”
Anderson clarified that the allegations pertain to business propriety during the pandemic period, predating McMurdock’s entry into Parliament last year.
The Sunday Times alleges that McMurdock secured tens of thousands of pounds through the government’s Bounce Back Loan scheme, intended to assist struggling businesses during the Covid-19 pandemic.
The report states that loans totaling £70,000 were acquired through two companies: JAM Financial Limited and Gym Live Health and Fitness Limited.
JAM Financial Limited reportedly obtained the maximum loan amount of £50,000, requiring a turnover of at least £200,000.
Gym Live Health and Fitness Limited is alleged to have secured loans totaling £20,000, necessitating a turnover of £100,000.
The newspaper alleges that JAM Financial Limited had no employees and minimal assets until the pandemic’s onset, and that Gym Live Health and Fitness Limited remained dormant until January 31, 2020.
BBC News understands that Reform’s internal investigation is expected to be led by an external party and will span at least several weeks.
In a statement, McMurdock affirmed that his business dealings have been evaluated by “appropriately qualified professionals” who confirmed “absolute compliance.”
He added: “As a precautionary measure, and to safeguard Reform UK, I have requested a temporary suspension of the party whip.”
McMurdock secured his seat last July with a narrow margin of 98 votes, surpassing Labour and unseating the Conservatives.
A since-removed profile on Reform’s website quoted McMurdock stating that he had a business background prior to entering politics, including tenures at Goldman Sachs and Lehman Brothers.
He is the second of the five Reform MPs elected in 2024 to relinquish the party whip, following Rupert Lowe’s suspension in March.
Lowe’s suspension followed allegations of “threats of physical violence” against then-chairman Zia Yusuf.
The Crown Prosecution Service later determined that Lowe would not face criminal charges related to the claims, which he dismissed as “false” and a “brutal smear campaign.” He currently sits as an independent in the Commons.
Reform’s Sarah Ponchin won the Runcorn by-election in May, restoring the party’s Commons contingent to five.
However, McMurdock’s relinquishing of the party whip now leaves Reform with four sitting MPs.