London Daily

Focus on the big picture.
Tuesday, Jun 09, 2026

Nadhim Zahawi settled tax issue with HMRC while he was chancellor

Nadhim Zahawi settled tax issue with HMRC while he was chancellor

Labour's chair Anneliese Dodds describes the revelation "shocking" while former Tory party leader Iain Duncan Smith says Mr Zahawi must share more information about his tax payments.
Nadhim Zahawi settled his tax issue with HMRC while he was serving as chancellor, a government source has told Sky News.

Questions about the now Tory chairman's deal with tax authorities have continued, even after he released a statement to "address some of the confusion about my finances".

On Saturday he admitted he paid what HMRC said "was due" after it "disagreed about the exact allocation" of shares in the YouGov polling company he co-founded, an error he noted was "careless" not deliberate.

But he did not disclose the size of the settlement - reported to be an estimated £4.8m including a 30% penalty - or whether he paid a fine.

Labour Party chair Anneliese Dodds described the revelation that Mr Zahawi was chancellor while negotiating the settlement as "shocking".

"After a week of Nadhim Zahawi dodging questions, we now know the shocking truth that he was negotiating his tax settlement while in charge of HMRC.

"This whole episode is deeply damaging to public trust, with a chancellor in charge of the nation's finances asking the public to pay their taxes while apparently having failed to do so himself.

"His position is clearly untenable. Every hour that Rishi Sunak refuses to sack him shows just how weak the prime minister is."

James Cleverly insisted Mr Zahawi will survive in his post until at least Prime Minister's Questions on Wednesday.

The foreign secretary claimed to know nothing of his cabinet colleague's tax position beyond Mr Zahawi's statement when he was repeatedly pressed on Sky News' Sophy Ridge On Sunday.

Other Tories including former party leader Iain Duncan Smith said Mr Zahawi must share more information.

The spotlight on Mr Zahawi's tax affairs comes at a challenging time for the prime minister, who on Friday was fined by police for not wearing a seatbelt in the back of a moving car.

Meanwhile, fresh accusations of sleaze have been levelled at the Conservative party amid claims BBC chairman Richard Sharp helped Boris Johnson secure a loan - weeks before the then-prime minister recommended him for the role.
Newsletter

Related Articles

0:00
0:00
Close
Nebius Opens Major Robotics and Physical AI Laboratory in London
Bank of England Data Shows Strong Rise in New Mortgage Approvals
Network Rail Completes Landmark Upgrade of Severn Tunnel Rail Infrastructure
East West Rail Passenger Services Between Oxford and Milton Keynes Set for December Launch
GlaxoSmithKline Reportedly Pursues £7 Billion Acquisition of US Cancer Drug Developer Nuvalent
Bank of England Signals Interest Rates Likely to Remain Unchanged Despite Energy Market Risks
NHS Trusts Launch Job-Cutting Programmes as Financial Pressures Intensify Across England
More Than 130 Labour MPs Urge Ban on Trade With Israeli Settlements
Keir Starmer Orders Technology Firms to Introduce Smartphone Nudity Controls for Under-18s
UK Unveils £400 Million National AI Supercomputer Fund and New Economics Institute
Japanese Technology Firm Fujitsu Launches Advanced Artificial Intelligence Tool for Corporate Disclosures
South Africa Officially Launches Nationwide Campaign for Highly Contested Local Government Elections
United Kingdom Commits Additional Funding for Unexploded Ordnance Clearance in Laos
Singapore Announces Stringent New Greenhouse Gas Regulations for Commercial Cooling Systems
Cambodia and Thailand Hold High-Level Border Security Talks at United Nations Headquarters
Myanmar Military Government and China Sign Major Agreement to Upgrade Media and Cultural Cooperation
Knife Attack at Swiss Train Station Leaves Three Injured in Suspected Act of Domestic Terrorism
Transnational Extortion Gang Threatens Canadian Police With Army of One Thousand Armed Operatives
Australia Imposes Forty-Two-Day Quarantine on Cruise Ship Passengers Following Deadly Hantavirus Outbreak
International Monetary Fund Unlocks Seven Hundred Million United States Dollars for Sri Lanka Following Economic Reforms
Australia Launches Record One Point Four Billion Dollar Lawsuit Against Chemical Giant 3M Over Contamination
China and Canada Foreign Ministers Meet in Ottawa in Effort to Stabilize Strained Diplomatic Ties
Indonesia Demands Urgent United Nations Security Council Reform Amid Escalating Global Conflicts
Extreme Weather Patterns Trigger Severe Drought in Madagascar and Destructive Flooding in East Africa
Indian State of Karnataka Faces Political Upheaval as Chief Minister Siddaramaiah Abruptly Resigns
Philippines and Japan Reaffirm Defense Ties as Crucial for Indo-Pacific Regional Stability
Norway Joins French Nuclear Deterrence Initiative in Major Shift for European Security Architecture
Global Critical Mineral Alliances Expand as Western Nations Move to Counter Chinese Supply Dominance
United States Imposes Fifty Percent Tariffs on Mexican Steel and Aluminum Ahead of Trade Pact Review
European Union and China Head Toward Major Trade Conflict Over Clean Technology Exports
United States Economic Growth Severely Downgraded to One Point Six Percent as Stagflation Fears Mount
World Health Organization Warns Central African Ebola Epidemic is Outpacing Containment Efforts
United States Treasury Department Conditions Sanctions Relief on Reopening of the Strait of Hormuz
Iranian Air Defenses Intercept and Destroy United States Military Drone Over Bushehr Province
Iranian Armed Forces Launch Ballistic Missiles Toward Unspecified Targets Prompting Regional Condemnation
United Nations Secretary-General Warns Global Order Facing Highest Level of Conflict Since 1945
Israel Issues Sweeping Evacuation Orders in Southern Lebanon Amid Intensified Hezbollah Conflict
Russia Announces Systemic Military Strikes Targeting Ukrainian Defense and Energy Infrastructure
United States and Iranian Negotiators Reach Draft Agreement to Extend Ceasefire and Resume Nuclear Talks
United Nations Security Council Deeply Divided Over United States Capture of Venezuelan President
US and Iran Exchange Direct Military Strikes Amid Fragile Gulf Ceasefire
World Health Organization Warns of Catastrophic Ebola Outbreak in DR Congo
Russia Threatens New Wave of Strikes on Ukrainian Infrastructure and Embassies
Scientists Warn Atlantic Ocean Currents Could Collapse Faster Than Projected
Anthropic Reaches $900 Billion Valuation in Historic AI Funding Round
Washington Imposes Crippling Sanctions on Iranian Maritime Authority
Japan and the Philippines Initiate Strategic Intelligence-Sharing Pact
Microsoft Deploys Autonomous Computer-Using AI Agents to Global Markets
Anthropic Secures $45 Billion Compute Infrastructure Agreement With SpaceX
U.S. Director of National Intelligence Resigns Amid Administration Shakeup
×