Harlow Labour leader: Why former chancellor Nadhim Zahawi’s tax affairs matter
News / Mon 23rd Jan 2023 at 09:26am

THE LEADER of Harlow Labour has issued the following statement regarding the chairman of the Conservative party and his tax affairs.
Mr Zahawi paid a penalty to HMRC over unpaid tax while he was chancellor.
Why Nadhim Zahawi’s tax affairs matter
Cllr Vince said: “Nobody likes paying taxes, but pay them we must, most of us paying them directly from our wages. These taxes pay for the NHS, schools, emptying bins, repairing potholes and all the other public sector services we depend on, services that have for the last 12 years been deprived of the cash needed to pay staff properly and invest in maintenance and modernisation.
Under the Conservatives, as public services have been starved of funds, the burden of taxation for ordinary workers has reached record levels. At the same time it seems increasingly obvious that the Conservatives consider tax to be something to be paid only by ‘the little people’ and not by them and their super rich friends and relatives. Instead they use offshore accounts and clever accountancy tricks to avoid paying their fair share.
This is exemplified by recent revelations about the tax affairs of Conservative Party Chair Nadhim Zahawi.
In the summer of 2022, Zahawi, was appointed as Chancellor of the Exchequer, in charge of tax and spending for the UK. Extraordinarily it is now reported that this appointment was made at a time when Zahawi was the subject of an investigation by the National Crime Agency and the Serious Fraud Office into his own tax affairs.
Zahawi protested his innocence and threatened legal action against anyone who suggested he had not paid all the tax that was owing.
This week he has coughed up nearly £5 million in unpaid taxes and, more tellingly, fines.
If the Prime Minister had any integrity Zahawi would have been sacked, but as I write he remains in post. A super rich, powerful man, who has tried to avoid paying what he owes to the government, while at the same time publicly saying that nurses, fire fighters, teachers and care workers should accept becoming poorer because the state doesn’t have enough money to raise their pay in line with inflation.
There is a stench of corruption that surrounds this Conservative government and its time they were given the boot.
Cllr Chris Vince
Light touch regulation of all state affairs, including tax, can be traced to Labour's Chancellor Gordon Brown in his 2005 speech to CBI conference when he said: "The better, and in my opinion the correct, modern model of regulation - the risk based approach - is based on... not just a light touch but a limited touch. "The new model of regulation can be applied not just to regulation of environment, health and safety and social standards but is being applied to other areas vital to the success of British business: to the regulation of financial services and indeed to the administration of tax." Now we are supposed to believe that heir to Tony Blair's legacy, Keir Starmer, will magic away all the dirty dealings when he has already ditched a handful of pledges he made in his run for the leadership of Labour. https://www.google.com/amp/s/amp.theguardian.com/business/2005/nov/28/economicpolicy.budget2006
Interesting that our Conservative MP Robert Halfon is very quiet on this issue. If Halfon really cared about Harlow residents he would publicly condemn the super rich and powerful who avoid paying tax. The likes of Zahawi, and other Tory cronies tax avoidance, results in public services suffering and taxes rising for ordinary workers.
I assume it's because Mr. Halfon believes that the Chairman has done nothing wrong and he has nothing to answer for.
This is a diversion tactic to try and remove our attention to the fact that nothing seems to work anymore even though we are paying the highest taxes in 70 years. And yes our politicians are spending our taxes arguing about this. Grow up and start fixing things instead of all these petty side shows.
Nadhim Zahawi’s tax situation is a hot topic that many on the left are saying is because he is a Tory. If we believe his version of events, which appear to have been accepted by HMRC, it was a case of carelessness rather than deliberate fraud. May I remind his critics that when a Minister in a Blairite cabinet, Jack Straw, failed to complete his tax he said it was because he was "too busy". Really! Too busy to follow the law and yet he retained his position within the Labour cabinet.
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