Brexit dithering has cost Labour some 150,000 members and £6 million, according to party insiders.
The number of paid-up activists now stands at around 385,000 – down from a peak of more 500,000 in 2017 – amid fury at Jeremy Corbyn’s Brexit stance, the Sunday Times has claimed.
Sinking numbers has hit Labour’s coffers to the tune of around £6 million.
Corbyn has been caught between a rock and a hard place over Brexit. While the majority of its members back a second vote the party is also trying to keep hold of its many Leave-voting constituencies.
But according to the latest polls, the hesitation is also irritating the electorate.
The source told the Sunday Times: “The party is skint. There have already been some recriminations about the amount spent on last summer’s botched music festival Labour Live.
“Although there is always some dropoff in membership after big events like general elections, or a leadership contest, this is more than you would ordinarily expect and has led many of us to think it’s linked to Jeremy’s unpopular stance on Brexit.”
Party general secretary Jennie Formby said the reports were a ‘total fabrication’ while shadow Cabinet Office minister Jon Trickett insisted membership was rising every week.
Ms Formby said: “More people are joining Labour every week than resigning.
“I’m proud to be GS of a mass membership party that is building a social movement for change.”
Mr Trickett said: “The suggestion that we have lost large numbers of members in one of today’s papers is totally untrue.
“As a member of Labours NEC I can say this with absolute certainty. In fact, at the present time we are still growing each week, and each month.”