Election expenditure limit revised


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Why in news?

  • Ahead of Assembly polls in five States, the election expenditure limit for candidates for Lok Sabha constituencies and Assembly constituencies was increased by Election Commission of India.

More about the news:

  • Spending limit for Lok Sabha constituencies has been raised from 70 lakh to 95 lakh rupees in bigger states and 54 lakh to 75 lakhs in smaller states.
  • For Assembly constituencies, expenditure limits have been enhanced from 28 lakh rupees 40 lakh rupees in bigger states and from 20 lakhs to 28 lakhs in smaller states.
  • These limits will be applicable in all upcoming elections.


  • The last major revision in the election expenditure limit for candidates was carried out in 2014, which was further increased by 10 per cent in 2020.
  • The same year, ECI also formed to study the cost factors and other related issues, and make suitable recommendations.

How it is enforced?

Election expenditure limit is the amount an election candidate can legally spend for their election campaign and has to account for, which includes expenses on public meetings, rallies, advertisements, posters, banners vehicles and advertisements.

It can be noted that there is no cap on a political partys expenditure, which is often exploited by candidates of the party.


  • Representation of the People Act (RPA), 1951:
    • Under Section 77 of the RPA, 1951 every candidate shall keep a separate and correct account of all expenditure incurred between the date on which they have been nominated and the date of declaration of the result.
    • All candidates are required to submit their expenditure statement to the ECI within 30 days of the completion of the elections.
    • Under Section 10A of RPA, 1951 >> an incorrect account or expenditure beyond the cap can lead to disqualification of the candidate by the ECI for up to three years.
    • The expenditure cap is mentioned in Rule 90 of the Conduct of Election Rules, 1961


Consider the following statements:

1. The election expenditure limit for candidates for Lok Sabha constituencies is uniform across the state

2. Currently there is no cap on a political party’s expenditure in elections

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2