How do you allocate that? Surely you can't give anyone who asks the same amount. So you favour parties which are already entrenched. Of course that has quite a few upsides but it doesn't seem like an inherently democratic system.
In worst (of course not unavoidable) you also might end up with indirect equivalent of what your re trying to ban, e.g. private media companies with a lot of resources that are biased towards certain candidates influencing public opinion (without crossing the legal boundaries) or those already in power using the state media to do the same.
e.g. in Hungary most funding comes from the government. How did that work out for them?
- parties repeatedly getting 2% over 4 years get gov donations
- parties can take capped membership fees
- private citizen can forward a minuscule part of incomes tax towards a specific party, fully anonymously
- during campaigning, private people can donate to parties, capped to a small percentage of donator official incomes.
Fun thing is, this was put in place after an attempt to install a local equivalent of Orban. Bankrolled by a businessman with close ties to Russia.
It has nothing to do with what GP was suggesting of "banning campaigns" lol