Nigel Farage will quit as an MP in order to trigger a byelection, in a bid to regain control of the narrative as he faces a deepening scandal over his finances.

The Reform leader said on Tuesday he will stand in a new “people versus the establishment” election in Clacton, where he has served as an MP since 2024.

Farage is being investigated by the parliamentary standards watchdog over an undeclared donation. That probe will be suspended now that he has resigned, but would begin again if he wins the seat back.

By triggering a byelection, Farage may be trying to outmaneuver the investigation by winning a strong public mandate before its outcome.

The byelection would be “a chance to stick two fingers up to the entire establishment and tell them where to go,” he said in Tuesday’s statement.

Addressing questions over donations he has received from rich supporters, he said: “It seems to me that the establishment has now decided that they can’t beat us fairly so they have chosen to use foul means.

“I’ve done nothing wrong. I have not broken the law in any way at all. I have not misused public money.”

The statement came after a difficult few weeks for Farage in which he appeared under strain when facing questions over a £5m gift he received from Thailand-based crypto-billionaire Chris Harborne in 2024.

The scrutiny intensified this week after the Sunday Times revealed that Farage did not declare funding received from his longtime ally George Cottrell, a convicted fraudster.

On more than one occasion Farage has lost his cool under the media spotlight.

On Monday, when being questioned about the donations from Cottrell by a journalist from Sky News, he said: “You tell your bosses, you harass my family any more and there will be serious consequences.” Sky News said it had not contacted Farage’s family over the story and later clarified that it had been part of a press pool in which the Reform leader’s daughter had been approached.

In a car-crash interview in late June with LBC, he said that the donation from Harborne was “unconditional” and so he could “spend it on Ferraris if I want”.

Addressing commentary on his recent media performances, Farage said, “Am I angry? I’ve never been angrier in my life.”

Momentum has slowed for the party after a mediocre performance in last month’s Makerfield byelection, in which Andy Burnham was victorious, and underwhelming results in the May local elections, despite gaining over 1,400 council seats.

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