An MP accused of taking cash from developer wanting to build 700 homes in Exmouth has hit back at the ‘untrue’ claim, telling critics ‘I play by the rules’.
David Reed, MP for Exmouth and Exeter east, was this week accused of taking a bung from the developer behind Exmo_20, who is proposing to build St John’s Woodland Village on the edge of the town.
Pointing the finger was district councillor Charlotte FitzGerald – plucked by the Lib Dems to stand against Mr Reed at the next general election – who accused the MP of muscling in to arrange and chair a public meeting with the developer, while calling into question his impartiality over a £5,000 donation made in 2024 before he was elected.
Amid the mudslinging, Cllr Fitzgerald said she was ‘appalled’ Mr Reed accepted cash from the developer and failed to tell residents of the link.
Mr Reed denied any wrongdoing, said the donation had been made public at the time, and accused Cllr Fitzgerald of ‘spreading mistruths’.

David Reed, MP for Exmouth and Exeter east said the cash donation was made in 2024 before he was elected, and recorded publicly at the time. .
Photo: David Reed.
He said: “It’s very sad to see that Cllr Fitzgerald has started her tenure as the Lib Dem parliamentary candidate for Exmouth and Exeter East by spreading mistruths.
“Honesty and integrity are core principles for anyone in public life, and she has chosen to abandon both.
“However, I’m not surprised by someone who stood as an independent candidate in the election only to quickly switch to the Lib Dems once elected.”
“Cllr Fitzgerald has claimed that, after the general election, I personally accepted thousands of pounds from a developer. This claim is 100 per cent untrue.”
Mr Reed added: “I play by the rules. It’s essential that our politicians do so, so that we can have trust in the system.”
Cllr FitzGerald attacked Mr Reed’s integrity after he invited her onto the panel at his Exmo_20 meeting on September 24, alongside the developer keen to build 700 homes on a site near St John’s road.
Cllr Fitxgerald criticised Mr Reed’s move to hold the public meeting, and cast doubt on his ability to remain impartial, claiming he had hushed-up the developer £5,000 donation.
She feared the donation could cloud his decision making and he would ‘muddy the waters’ if his meeting went ahead.

Cllr Charlotte FitzGerald – plucked by the Lib Dems to stand against Mr Reed at the next general election – is ‘appalled’ he accepted cash from the developer. Photo: Fran McElhone/Liminal Media.
Mr Reed confirmed the Conservative Association received a donation before he was elected in 2024, which was made public at the time.
He said: “As per the rules, I made public that the Conservative Association received a donation prior to me being elected. I did not want there to be any risk of impropriety, and making this public was essential.”
The MP revealed he called the public meeting because he was ‘not convinced’ Exmouth’s infrastructure and sewage system could cope with the proposed development.
Mr Reed said: “The challenge comes when politicians become indebted to donors and allegiance is given in return. I have always been clear that I will engage, and if our plans improve our home, then great. If not, I will stand up and do the right thing for local people. This is why I am holding a town hall on the EXMO 20 development.
“At present, I am not convinced that the infrastructure will marry up with the development — and I have little faith that sewage infrastructure will cater for the area.”
He said MPs have no sway in the planning process, unlike councillors.
Mr Reed said: “I still have a duty to do the right thing by my constituents and by my home. I will therefore be collecting views and making a decision on whether or not I support the application.”
Cllr FitzGerald claimed she had been the first to publicly object to the proposed Exmo_20 development, with her focus on helping the district council set out its new 20-year housing plan.
She said: “I’ve spent years helping make East Devon’s local plan fit for residents. Now our MP, who has had no involvement whatsoever except to accept cash from the developer, is attempting to play broker in public to the parties involved.”
“He seems to be setting out his stall as an independent mediator, even though just after his election he accepted thousands of pounds from the developer.”
She said Mr Reed’s interest in the proposed development was driven by personal gain, while she worked to highlight road safety concerns and safeguarding the area’s nature and wildlife.
Cllr FitzGerald said: “Given his financial interest, our Conservative MP doesn’t seem suited to being an impartial chair at an event on the subject.”
She added: “While I’ve ensured the subject of Exmo_20 has never been far from the council’s minds by raising potential problems such as road safety and protecting habitats, our MP has achieved only a vested interest.”
She said residents ‘deserve better’, adding: “I’m also worried that our MP will use the meeting to muddy the waters between what the council has set out in policy and what is in the hands of his sponsor.
“I am not confident our MP understands the council and developer’s roles. That hardly makes a good fit for a panel chair.”
Mr Reed said his role was to ‘stand up and do the right thing for local people’.
