Tory millionaire Nadhim Zahawi to 'pay millions in tax to settle dispute with HMRC'

Labour says the multi-millionaire former chancellor - who is chairman of the Conservative Party - has 'questions to answer' about how his family's trust owned shares in the polling firm he founded

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Nadhim Zahawi arrives at the Treasury as Chancellor in July 2022

Mega-rich Tory President Nadhim Zahawi has agreed to pay millions of pounds in tax to settle a dispute with HMRC, it was reported today.

Labour said the multi-millionaire had “questions to answer” after sources told The Sun on Sunday that its representatives would shell out a seven-figure sum.

Questioned by the Mirror, a spokeswoman for Mr. Zahawi refused to confirm or deny the information that he would pay a seven-figure sum.

Reports emerged last year that HMRC officials raised a ‘flag’ over Mr Zahawi, who briefly served as Chancellor during the Tory leadership battle.

It came after critics shed light on a family trust based in the tax haven of Gibraltar, which held millions of pounds worth of shares in the polling firm YouGov which Mr Zahawi co-founded in 2000.< /p>

YouGov accounting records in the past called Balshore Investments "the family trust of Nadhim Zahawi's family", and "a company owned by Nadhim Zahawi's parents".

Critics have pointed to a Zahawi family trust based in the tax haven of Gibraltar (

Picture:

Alastair Grant/AP/REX/Shutterstock)

The shares of Balshore have finally been sold. Tax Policy Associates, run by a former tax lawyer, said if the shares had been held by Mr Zahawi personally he would have been liable for £3.7million in capital gains tax.

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Mr. Zahawi has previously insisted that his parents' trust owned the shares due to his father's "business savvy".

But Labor Party leader Anneliese Dodds said 'there are serious questions for Nadhim Zahawi and Rishi Sunak