Billionaire environmental activist Tom Steyer announces run for California governor

Tom Steyer, the billionaire environmental activist who unsuccessfully sought the Democratic nomination for president in 2020, will run for California governor, he announced on Wednesday.

The 68-year old joins a crowded field of candidates seeking to replace Gavin Newsom, and in a statement released this week pledged to focus on the state’s intractable affordability crisis.

“Californians deserve a life they can afford. But the Californians who make this state run are being run over by the cost of living. We need to get back to basics. And that means making corporations pay their fair share again,” Steyer said.

With Newsom termed out from running, several prominent Democrats have entered the race, including former congresswoman Katie Porter; Xavier Becerra, a former US cabinet member; Antonio Villaraigosa, a former state lawmaker who served as the LA mayor; and Betty Yee, who was the state controller from 2015 to 2023. Congressman Eric Swalwell is expected to announce plans to run.

Porter was considered the frontrunner until October when video emerged of her appearing frustrated with a journalist during an interview with a local news outlet and threatening to walk out. In the aftermath of the incident, Republican Chad Bianco, the Riverside county sheriff who is running for governor, took the lead in polling. Steve Hilton, a former David Cameron adviser and Fox News host, is also running as a Republican.

Steyer is perhaps best known as one of the largest donors to the Democratic party and his 2020 campaign for president. The former hedge fund manager created NextGen America, a political action committee and non-profit, spending millions to mobilize voters on the climate crisis and reproductive rights, among other issues. He dropped out from the 2020 race after the South Carolina primary, where he came in behind Joe Biden and Bernie Sanders.

But he has remained an active supporter of Democratic causes. Steyer spent more than $12m in support of California’s recently passed redistricting measure.

In a statement announcing his plans to run, Steyer said he led “winning campaigns” for state legislation that raised the tobacco tax to support healthcare programs and a proposition that “closed a corporate tax loophole for out-of-state companies”.

“I wanted to build a business here. Now, it’s worth billions of dollars. And I walked away from it because I wanted to give back to California,” Steyer said. “I’ve taken on out-of-state corporations that refused to pay their California taxes. I’ve taken on the oil companies. I’ve taken on the tobacco companies. We’ve raised billions of dollars for California citizens, without charging California citizens a nickel.”

Steyer said that as governor he would lower utility costs, build 1m homes in four years, make pre-school and community college free and ban corporate Pac money in state elections.