Sunak urged to 'come clean' over what he knew about Zahawi tax scandal

Rishi Sunak has been urged by Labour to “come clean” over what he knew about Nadhim Zahawi’s tax affairs after the PM sacked the Tory social gathering chairman on Sunday.

An ethics inquiry into the dealing with of Mr Zahawi’s funds discovered a “serious breach” of the ministerial code and Mr Sunak swiftly eliminated the Tory chairman from his place.

But the PM stays beneath strain to stipulate what he knew in regards to the investigation into Mr Zahawi’s tax affairs and when.

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Labour’s deputy chief Angela Rayner and chairwoman Anneliese Dodds have written to Mr Sunak asking him to provide the general public “full transparency”.

The letter features a vary of questions for the prime minister to reply:

• When he was made conscious of the HMRC investigation into Zahawi’s tax affairs and if he knew the previous Party Chair had agreed a multi-million pound settlement with the taxman

• Why he beforehand acknowledged at PMQs that every one questions on this concern had been answered

• What discussions he had with Zahawi earlier than appointing him to his cupboard

• When he’ll preserve his promise to publish his personal tax return for the 2022/23 tax yr

• If any Conservative ministers had did not submit their declaration of pursuits, and when the subsequent register can be printed.

Ms Dodds described Mr Sunak as “weak” for not sacking Mr Zahawi “when this murky affair first surfaced”.

“Rishi Sunak has eventually relented to pressure and sacked Nadhim Zahawi,” she stated.

“This doesn’t change the fact that his government is drowning in sleaze, with whole rogues’ gallery of ministers being investigated for security breaches, bullying allegations and murky tax affairs.

“We must know exactly what Rishi Sunak knew about Zahawi’s tax affairs and the HMRC investigation, why he was appointed to the cupboard within the first place, and when the prime minister shall be clear about his personal tax return.”

Ms Rayner added: “This hopelessly weak prime minister has been dragged kicking and screaming into doing what he ought to have executed way back.

“Rishi Sunak shouldn’t have needed an ethics adviser to tell him that Nadhim Zahawi’s position was untenable, but instead he continued to prop up the man he appointed to cabinet.

“He should now come clear on the recommendation he was given about that appointment within the first place and why he apparently ignored the warnings.”

Mr Sunak had resisted earlier calls from opposition events to sack Mr Zahawi as Tory social gathering chairman following experiences that he had paid a penalty as a part of an estimated £4.8m settlement dispute with HMRC.

He had as a substitute requested his new ethics adviser – Sir Laurie Magnus – to evaluate whether or not the settlement amounted to a breach of the ministerial code.

In a letter written by Sir Laurie to the PM on Sunday morning following the conclusion of the investigation, the ethics adviser stated Mr Zahawi had “shown insufficient regard for the general principles of the ministerial code” and had not fulfilled the necessities of being an “honest, open and an exemplary leader”.

In the correspondence to Mr Sunak launched by Downing Street, Sir Laurie stated his general judgement was that the “omissions” by Mr Zahawi relating to his tax affairs “constitute a serious failure to meet the standards set out in the ministerial code”.

In a second letter written by the PM to Mr Zahawi following Sir Laurie’s findings, Mr Sunak stated it’s “clear that there has been a serious breach of the ministerial code” and introduced the elimination of the Tory chairman from his ministerial place.

Informing Mr Zahawi of his choice to take away him from authorities, Mr Sunak wrote: “Following the completion of the independent adviser’s investigation – the findings of which he has shared with us both – it is clear that there has been a serious breach of the Ministerial Code.

“As a outcome, I’ve knowledgeable you of my choice to take away you out of your place in His Majesty’s Government.”

Read more:
Who is Nadhim Zahawi? The politician sacked over his tax affairs?
Rishi Sunak: From Zahawi and Raab to seatbelt gaffe – the U-turns and scandals of his first months as PM

The row surrounding Mr Zahawi had centred on a tax bill over the sale of shares in YouGov – the polling firm he founded worth an estimated £27m – which were held by Balshore Investments, a company registered offshore in Gibraltar and linked to Mr Zahawi’s family.

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Mr Zahawi had insisted he was “assured” he had “acted correctly all through”.

In a statement on Sunday morning, the Lib Dems said Mr Zahawi should also step down from his role as an MP as he is “unfit to serve the individuals of Stratford-upon-Avon”.

But in a letter to Mr Sunak following his sacking – in which he made no apology for his actions – Mr Zahawi told the PM he can be “assured of my assist from the backbenches within the coming years”.

Speaking shortly after Mr Zahawi’s sacking, Levelling Up Secretary Michael Gove told reporters Mr Sunak had taken “decisive motion” following the publication of Sir Laurie’s report.