Rishi Sunak has failed to “stop the rot” in politics, Labour said, as the party sought to drag the Prime Minister to the row over Boris Johnson ’s crony loan.
Deputy leader Angela Rayner said the Prime Minister had “personally ensured close friends from his old boys’ club enjoy the ride and reap the benefits.”
It was claimed last week that BBC Chairman Richard Sharp had helped Mr Johnson secure an £800,000 line of credit shortly before he put him forward for the BBC job.
Mr Sharp has said there was no impropriety and that the selection process was done "by the book".
Meanwhile, the Times published a letter apparently warning Boris Johnson to stop talking about his finances with Mr Sharp, just days before he was named BBC Chair.
The letter, dated December 22, 2020, reads: "Given the imminent announcement of Richard Sharp as the new BBC chair, it is important that you no longer ask his advice about your personal financial matters."
Mr Sharp was previously Mr Sunak’s boss while both worked for Goldman Sachs.
And after he was made Chancellor, Mr Sunak brought Mr Sharp to advise him on keeping the economy afloat during Covid.
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His “surprise” appointment as BBC chair is now under investigation by William Shawcross, the Commissioner for Public Appointments.
Mr Sunak has sought to distance himself from the row over the loan, saying Mr Sharp’s appointment was made by “one of my predecessors”.
The Mirror revealed this week that Mr Shawcross’ daughter, Eleanor, had donated £20,000 to Rishi Sunak ’s leadership campaign.
She was later hired by the Prime Minister to run the Number 10 Policy Unit.
But Ms Rayner said: “Far from putting a halt to the merry-go-round of Tory cronyism, Rishi Sunak has personally ensured close friends from his old boys’ club enjoy the ride and reap the benefits.
“Richard Sharp rotated from being Rishi Sunak’s boss, to being his adviser in government, to being handed a seat at the top of the BBC.
“Instead of stopping the rot, Rishi Sunak is letting it fester. Labour has a plan to clean up politics with a genuinely independent Integrity and Ethics Commission to restore standards in public life."
A Downing Street spokesperson declined to comment.