Peter Watt could face up to 12 months for breaching the Political Parties, Elections and Referendums Act 2000 alone. There are various potential offences to consider. More here.

Roy Kennedy was the Director of Finance and Compliance when the illegal funding operation was under way. Labour sources have told Guido that he should have known, it is inconceivable that the third biggest funder of the Labour party could have gone unchecked. He was responsible for compliance with the law. The question is when did he first know about it?

He will be an early target of the police investigation.