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Daily Mirror
Daily Mirror
Politics
Lizzy Buchan

Under-fire Nadhim Zahawi telling MPs he 'hasn't done anything wrong', says Tory

Tax row Tory Nadhim Zahawi has been telling MPs that he "hasn't done anything wrong" as he faces a probe into his financial affairs.

Backbencher Bim Afolami revealed that the shameless Tory had been telling MPs that he was in the clear as he sought to defend the under-fire party chairman.

Rishi Sunak has ordered his ethics chief Sir Laurie Magnus to launch an investigation into the matter as he scrambles to quell a fresh Tory sleaze row.

But he faced a torrid Prime Ministers Questions today with the affair looming over him amid mounting calls for Mr Zahawi to go.

Mr Zahawi said at the weekend that he resolved a dispute with HMRC last year - when he was Chancellor and in charge of the UK's tax policy.

The issue related to shares in YouGov, the company he co-founded before he became an MP.

The Tory chairman said a "careless but not deliberate" error had been made and he had agreed to a settlement to fix it, estimated to be around £5million, including a penalty.

Mr Afolami told TalkTV: "I spent quite a long time talking to him today and he was making the point, to not just me but to many other colleagues as well, that actually he hasn't done anything wrong.

"It's typical when people sell businesses that themselves and their accountant make a judgement as to what happens, how much tax they owe.

"They pay that tax and HMRC are of course within their rights to challenge that. Sometimes there's a discussion and in the end it's decided. That's what has happened.

"He's paid what he was due to pay. He hasn't challenged their eventual determination and he will now have that opportunity with the independent ministerial adviser on ethics to put his case forward."

Labour MP Jess Phillips hit back, saying: "Success doesn't mean that you don't have to pay all your taxes."

Senior Tory Caroline Nokes has called on Mr Zahawi to "stand aside until this matter is all cleared up" but Rishi Sunak has so far stood by him.

Ex-Tory Cabinet Minister David Gauke said the PM should “encourage” him to resign ahead of what will be a “very uncomfortable” PMQs.

The former MP said it was “hard to see” how the row “doesn’t ultimately end” in him stepping down as Tory chairman.

Liberal Democrat deputy leader Daisy Cooper said Mr Sunak should do the right thing and sack Mr Zahawi or at least suspend him for the duration of the probe.

"Every day that Nadhim Zahawi clings on does more damage to Rishi Sunak's credibility," she said.

"The Conservative Party is stuck in an endless cycle of sleaze and chaos, while the country suffers from a cost of living and NHS crisis.

"What more will it take for Sunak to finally do the right thing and sack Zahawi, or at least suspend him for the duration of this investigation?

"He promised his Government would have integrity and accountability, but instead once again it's one rule for them and another for everyone else."

In a statement on Monday, Mr Zahawi said: "I welcome the Prime Minister's referral of this matter to the independent adviser on ministerial standards.

"I look forward to explaining the facts of this issue to Sir Laurie Magnus and his team.

"I am confident I acted properly throughout and look forward to answering any and all specific questions in a formal setting to Sir Laurie."

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