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PMQs LIVE: Rishi Sunak faces MP's questions amid Nadhim Zahawi £1m tax penalty scandal

Telegraph, 25 Jan 2023
Rishi Sunak is facing Sir Keir Starmer at Prime Minister’s Questions as Tory Chairman Nadhim Zahawi remains in post, despite consensus in SW1 that this scandal will cost him his job sooner or later.

Nadhim Zahawi is alleged to have paid a penalty of more than £1 million to HMRC over his tax affairs, leaving him fighting for his political future.

The deputy leaders of both Labour and the Liberal Democrats have questioned whether the Tory chairman should stay in post in the wake of the latest claim, and Conservative MPs have also privately called for Mr Zahawi to explain what happened.

One told The Telegraph it was time to “put this to bed once and for all”.

The claim that Mr Zahawi agreed to pay a penalty of more than a million pounds to the taxman, first reported by the Guardian, was not denied by the former Chancellor's press team last week.

A Sun on Sunday report that Mr Zahawi had agreed to pay millions of pounds to HMRC after scrutiny over his family’s tax affairs has also not been denied.

Allies of Mr Zahawi insisted that he would not resign, and claimed it was simply a careless mistake.

Penalties can be required by the taxman for a variety of reasons including when a “lack of reasonable care” with payments has been taken, according to HMRC guidance online.

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