This short paper discusses the constitutional issues associated with the proposed amendments in the Election Funding, Expenditure and Disclosures Amendment Bill 2011 relating to caps on electoral expenditure.

Significant issues of interpretation remain to be clarified in relation to the implied freedom of political communication. Furthermore, the issues identified in this paper can only be resolved by the High Court.

This paper is to be read in conjunction with e-brief 1/2012, which discusses the constitutional issues relating to the Bill's proposed ban on the making of political donations by third-party interest groups.