Downing Street has rejected claims made by allies of Nadhim Zahawi, who have claimed he was treated unfairly during ethics adviser Sir Laurie Magnus’ short investigation into his tax affairs.
The ex-chancellor’s allies told The Spectator that he had told Tom Scholar, then permanent secretary at the Treasury, about the HMRC fine he received in September.
They also claim his ministerial register of interests was up to date in September, despite Sir Laurie Magnus’s report stating that he had failed to update it until this month.
But Rishi Sunak’s official spokesman rejected the idea any government officials knew of a penalty in September. “The penalty fact was not set out until a later date. As the [ethics adviser] made clear, [Mr Zahawi] did not declare the details of the fine … until January.”
Zahawi allies also said he only got a 30-minute hearing from Sir Laurie on Wednesday. But it is understood Mr Zahawi and Sir Laurie had a second conversation on Saturday.
Downing Street said Sir Laurie was working to publish the latest ministerial register of interests but gave no time line. The latest list was released back in May 2022.
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UK still a top-tier military power, says No 10
No 10 has insisted the UK remains a top-tier military power following claims a senior US general told defence secretary Ben Wallace the British Army is no longer regarded as a “top-level” fighting force.
Asked if Rishi Sunak still believes the UK is a top-level fighting force, his spokesman said: “Yes”, adding that the PM believes the British military personnel have “the equipment and capability to meet the threats they face”.
Defence sources told Sky News that cost-cutting measures have seen the status of the British Armed Forces decline in the eyes of world leaders. “You haven’t got a tier one, it’s barely tier two,” the US general reportedly told Mr Wallace.
Nadhim Zahawi attacks media coverage in response to sacking by Rishi Sunak over tax affairs
Nadhim Zahawi has responded to his sacking by Rishi Sunak by attacking the media’s coverage but making no reference to his tax affairs.
In his letter, Zahawi fails to reference his tax affairs, but said he was “concerned” about the “conduct from some of the fourth estate in recent weeks”.
The former chancellor called it the privilege of his life to serve in successive governments and assured his support to the PM from the backbenches, adding: “Your five priorities are the right priorities, and I will do whatever I can to help you deliver them.”
Jonathan Kanengoni reports:
Who is Nadhim Zahawi? All you need to know about the ex-Tory Party chairman
The Iraqi refugee who arrived in Britain aged nine with no English rose to No 11 Downing Street and propped up Boris Johnson’s ailing administration last summer, only to be brought down by scandal of his own, Joe Sommerlad writes.
No 10 rejects claims made by Zahawi allies
Downing Street has rejected claims made by allies Nadhim Zahawi, who have claimed he was treated unfairly during ethics adviser Sir Laurie Magnus’ short investigation into his tax affairs.
The ex-chancellor’s allies told The Spectator that he had told Tom Scholar, then permanent secretary at the Treasury, about the HMRC fine he received in September.
They also claim his ministerial register of interests was up to date in September, despite Sir Laurie Magnus’s report stating that he had failed to update it until this month.
But Rishi Sunak’s official spokesman rejected the idea any government officials knew of a penalty in September. “The penalty fact was not set out until a later date. As the [ethics adviser] made clear, [Mr Zahawi] did not declare the details of the fine … until January.”
Zahawi allies also said he only got a 30-minute hearing from Sir Laurie on Wednesday. But it is understood Mr Zahawi and Sir Laurie had a second conversation on Saturday.
Downing Street said Sir Laurie was working to publish the latest ministerial register of interests but gave no time line. The latest list was released back in May 2022.
No 10 also said the difference between the Zahawi tax row and Suella Bravermans security breach during her first stint as home secretary is that Ms Braverman “took accountability” for her actions.
I won’t be Tory chair, says William Hague
Former Tory leader Lord Hague dismissed speculation linking him to the vacant party chairman post after Nadhim Zahawi was sacked by the prime minister.
“Since I’ve seen reports of people placing bets on me being the new party chairman, please be aware that I will absolutely not be returning to politics in any shape or form, including that one,” he said.
Tory MP Marco Longhi has backed Lee Anderson – criticised for his comments on food bank users’ failure to “budget properly” – to replace Mr Nahawi.
Jacob Rees-Mogg has said Boris Johnson had “all the qualities” to be Tory chair. “He is charismatic, he rallies the troops – he’s a sort of fully loaded Conservative,” the Johnson loyalist told GB News.
Sunak says he made a ‘very quick decision’ to sack Zahawi
Prime minister Rishi Sunak said he had made a “very quick decision” to sack Nadhim Zahawi once he was presented with the report by the ministerial standards watchdog Sir Laurie Magnus.
“We have an independent adviser, that’s what the government has, it’s not me who is doing it,” Mr Sunak said during a visit to County Durham.
“What I asked, when all these questions starting coming to light about Nadhim Zahawi, I asked the independent adviser to get to the bottom of it and provide me with the facts.”
On the basis of those facts “I was able to make a very quick decision that it was no longer appropriate for Nadhim Zahawi to continue in government”.
Mr Sunak added: “It relates to things that happened well before I was Prime Minister, so unfortunately I can’t change what happened in the past.
“What you can hold me accountable for is: what did you do about it? What I did, as soon as I knew about the situation, was appoint someone independent, looked at it, got the advice and then acted pretty decisively.”
Tory anti-corruption campaigner calls for ‘tougher’ rules to stop repeat of Zahawi scandal
Senior Tory MP John Penrose, the Government’s ex ‘anti corruption tsar,’ has demanded new checks on Treasury minsters’ tax returns in the wake of the Zahawi affair.
Former minister Mr Penrose said HMRC should have special permission to expose Treasury ministers whom they suspect are dodging tax.
His comments come after Mr Zahawi was forced to resign amid uproar over being forced to pay a £1 million to HMRC while he was Chancellor, to whom HMRC is accountable.
Mr Penrose was the Government’s ‘anti corruption champion’ based in the Home Office until he resigned last year over Boris Johnson’s conduct in the ‘partygate’ affair.
Mr Penrose told BBC 5 Live (today) that HMRC should be able to break the customary confidentiality of individuals’ tax returns in the case of Treasury ministers.
He said: “We need to upgrade our system so we can prevent more of this happening in the future.
“We have got to have a system that works better. There might be a case for revisiting the question for Treasury ministers, because HMRC cannot say ‘hang on a second we think there’s an issue’ (with an individual) because they are bound by confidentiality.
“Maybe there should be a slightly tougher regime for Treasury ministers in particular.”
Rishi Sunak vows to crack down on sleaze and restore ‘integrity’ after Zahawi sacking
Rishi Sunak has vowed to crack down on sleaze in government and restore “integrity” after he sacked Nadhim Zahawi over his tax affairs.
Speaking at NHS hospital in County Durham, Mr Sunak said he had acted “pretty decisively” by ordering Sir Laurie Magnus’ probe after it emerged Mr Zahawi had paid a £1m penalty to HMRC.
Asked why so many top Tories had trouble following the rules, Mr Sunak said: “The things that happened before I was prime minister I can’t do anything about – what I think you can hold me to account for is how I deal with things that arise on my watch.”
The PM said: “As you’ve seen with Nazhim Zahawi, I asked the independent adviser to look at it straight away, acted on his findings straight away. That should give you some confidence that these things matter to me.”
Adam Forrest reports:
Sunak defends his handling of Zahawi tax row
Rishi Sunak defended his handling of the Nadhim Zahawi row, with the prime minister stressing his commitment to “integrity” and the need to follow the proper process.
The prime minister, speaking in County Durham, said: “What I have done is follow a process, which is the right process.
“Integrity is really important to me – all of you guys want to see that government is run properly, that it is run with integrity and there’s accountability when people don’t behave in the way that they should or if something doesn’t go right, and that’s what we’ve done.”
