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Sir Keir Starmer has suggested the job of prime minister is “too big” for a “hopelessly weak” Rishi Sunak as he attacked him for failing to sack Nadhim Zahawi.

At PMQs, the Labour leader asked if “any politician who seeks to avoid taxes they owe in the country is not fit to be in charge” of the UK finances – a reference to Mr Zahawi settling a seven-figure sum with HMRC, including a penalty, while he was chancellor.

“We all know why the prime minister was reluctant to ask his party chair questions about family finances and tax avoidance,” Sir Keir said – an apparent dig at the PM’s own tax affairs previously coming under scrutiny.

Politics live: Some Tories say ‘game over’ for Zahawi

“But his failure to sack him when the whole country can see what’s going on shows how hopelessly weak he is – a prime minister overseeing chaos, overwhelmed at every turn.”

Referencing problems with public services, Sir Keir added: “He can’t say when ambulances will get to heart attack victims again. He can’t say when the prisons system will keep streets safe again. He can’t even deal with tax avoiders in his own cabinet.

“Is he starting to wonder if this job is just too big for him?”

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Mr Sunak accused Sir Keir of being a “hypocrite” for seeking to get him to sack his colleague rather than abide by the due process of the parliamentary investigation into Mr Zahawi’s tax affairs, which he said Labour had called for.

The PM said: “Of course, the politically expedient thing to do would be for me to have said that this matter must be resolved by Wednesday at noon.

“But I believe in proper due process.”

Mr Sunak added that he did not know about the investigation into Mr Zahawi’s taxes when he appointed him to his cabinet in October.

On Sir Keir’s attack line he said: “It’s simple political opportunism and everyone can see through it.”

Read More:
Nadhim Zahawi’s tax affairs: What did the Conservative Party chairman do?

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Political editor Beth Rigby analyses PMQs.

Questions have swirled around Mr Zahawi’s tax affairs since the summer when claims emerged that he was being investigated by the Serious Fraud Office, the National Crime Agency and HM Revenue & Customs, accusations he deemed a “smear”.

The issue made headlines 10 days ago after The Sun on Sunday published an article claiming he had paid a seven-figure sum to the tax office to settle a dispute over the sale of his YouGov shares.

After a week of saying nothing more than his taxes “were and are fully up to date and are paid in the UK” – and publicly receiving the backing of Mr Sunak in last week’s PMQs – Mr Zahawi released a statement saying he had paid what HMRC said “was due” after it “disagreed about the exact allocation” of the shares.

The Tory chairman said this was a “careless and not a deliberate error” and did not confirm if any penalty was also levied. But Sky News understands that as part of the settlement with HMRC – thought to be around £4.8m – the chairman paid a penalty.

Zahawi ‘100% not resigning’

Mr Sunak has now asked his ethics adviser to carry out an inquiry into whether Mr Zahawi breached the ministerial code, and the investigation could extend into his prior tax arrangements and whether he lied to the media.

Speaking after PMQs, a Downing Street spokesperson said Mr Sunak still has full confidence in the senior Tory MP, who will be travelling to Chequers tomorrow for cabinet meetings.

They would not confirm if Mr Sunak would sack Mr Zahawi if he is found to have lied, saying they would not get into hypotheticals.

A source close to the former chancellor has told Sky’s political editor Beth Rigby he “100% is not resigning”.

In a statement on Monday, following the PM’s announcement of an investigation into the matter, Mr Zahawi said: “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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Channel migrant dinghy in which five people died packed with people carrying weapons and fighting – survivor

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Channel migrant dinghy in which five people died packed with people carrying weapons and fighting - survivor

The migrant dinghy in which five people died was chaotic, overloaded and packed with people carrying weapons and fighting, according to one of the passengers who was on board, speaking exclusively to Sky News.

Heivin, 18, confirmed the boat was stormed by a rival group of migrants, armed with sticks and knives, as it was preparing to set off.

She said: “People were fighting, people were getting stepped on, they were dying and being thrown off.”

She said she fell into the water but was pulled out by another person on the boat. Two other passengers who fell into the water, including a young girl, drowned. Three other people died on the boat.

Heivin said she “really hated” the group of people who hijacked their boat, insisting they should take the blame for what happened.

“They caused a huge tragedy,” she said.

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Five die after migrant boat ‘hijacked’

“It was because of them that people died.

“If they hadn’t come and started fighting, none of this would have happened.”

Read more:
Arrests after deaths of five people who tried to cross Channel
Migrants explain why they won’t be deterred by Rwanda bill

The tragedy happened in the early hours of Tuesday morning in the waters off the French coastal town of Wimereux.

The boat, which launched with 112 people on board, stopped on a sandbar only a few hundred metres from the shore.

By the time emergency services arrived, it was clear people had died, both on the boat and in the water.

Two men have been charged with immigration offences in connection with the investigation into the deaths of the five migrants.

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French authorities struggle to intercept all small boats carrying migrants across the Channel.

“I fell into the water but a man helped me up,” Heivin said.

“Everyone was climbing aboard and there were too many people – over 110 of us.

“I had tried to be at the front, but after I fell in the water I sat on the edge of the boat and didn’t go towards the other end – that’s where people were fighting.

“I thank God that I didn’t get into the top part of the dinghy. I would have suffocated. I thank God for that every day.”

Men in blue on Channel Crossing
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These men rushed on to the boat

She said her group, comprising between 50 and 60 people, had arrived at the beach in Wimereux after following the instructions of the people smugglers who had taken their money in exchange for arranging a passage to Britain.

Hidden away, they had waited for the smugglers to prepare the dinghy. She then saw police officers and was told simply to run towards the water.

At that point, the rival group emerged as well, clambering into the boat along with the people who had paid the smugglers.

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Heivin said she saw migrants from this group carrying sticks and knives, squaring up to both the police and the original passengers.

When the boat set off, exceptionally overladen, it meandered towards the Channel, but there was still fighting and it is clear that some people were being crushed.

“I was aware there was a fight,” Heivin said.

“They were shouting that people were stuck underneath other people, that they couldn’t get out, that some were falling under people’s feet.”

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Heivin has spent seven months travelling across Europe since leaving Iraq. She said she wanted to get to Britain because “it is a better country for me, definitely in terms of the language but also, in many other other ways, it is better than the rest of Europe”.

She’s made 30 attempts to cross the Channel, but has failed each time. Sometimes it has been the French police who have destroyed boats while other times the boat on which she was travelling broke down. One time, the boat failed only an hour from British waters.

She is undeterred by the trauma that she underwent, however, and she intends to try again to reach Britain as soon as possible. “Perhaps this weekend,” she said.

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There’s a new trade war brewing – over global dominance in the electric car market

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There's a new trade war brewing - over global dominance in the electric car market

There’s a trade war brewing between China and the West, at stake is who will dominate the global market for electric vehicles.

Outside the port city of Ningbo, Chinese car company Zeekr is rolling out luxury EVs and growing fast. The factory has only been up and running for three years, but this year it’s more than doubling production.

Chinese car company Zeekr is rolling out luxury EVs at its factory near outside the port city of Ningbo. Credit: Lex Ramsay
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Chinese car company Zeekr is rolling out luxury EVs at its factory near the port city of Ningbo. Pic: Lex Ramsay

Zeekr is a new player in the EV market, but it has unbridled ambition to sell its high-end, high-tech cars abroad. It’s a subsidiary of a state-backed company, Geely.

However, US and EU critics say the financial backing and vast resources of China’s government gives companies like Zeekr an unfair advantage.

In a recent trip to Beijing US treasury secretary Janet Yellen accused China of “overproduction” and “dumping” its EVs on overseas markets. The European Commission has started an investigation into whether to impose punitive tariffs on China’s industry.

But at Zeekr the threat of tariffs is being talked down. The company insists the global market is big enough for everyone.

Chinese car company Zeekr is rolling out luxury EVs at its factory near outside the port city of Ningbo. Credit: Lex Ramsay
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Zeekr is a new player in the EV market. Pic: Lex Ramsay

Speaking to Sky News at a massive auto show on the outskirts of Beijing, Zeekr vice president Chen Yu explained that when foreign car companies first started setting up EV plants in China, local car companies watched on and learned fast.

“Definitely,” Mr Chen said. “We learned about the performance, the design, the culture, everything.”

Now companies like Zeekr, and BYD which is a giant in the Chinese EV manufacturing market, are taking on traditional car companies.

“I would not say (Chinese EVs) are dominating the market. I would say just they bring more diversity to the local customer, that is the nature of competition as you know,” Mr Chen said.

However, the possibility of Europe slapping tariffs on Chinese EVs is a concern for the Zeekr executive: “Definitely, if the tariff goes up, no doubt we are worried about the potential challenge.”

Zeekr vice president Chen Yu. Pic: Lex Ramsay
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Mr Zhang, EV owner Pic: Lex Ramsay

On the floor of the auto show, car dealers and importers were clearly impressed with China’s EVs and warned legacy car manufacturers that they are in trouble.

New Zealand car dealer Matthew Foot has been attending the annual show for five years, and said: “It’s going to be very hard to beat China. They get incredible resources from the government; from lithium mines, to the ships and everything in between.

“Obviously you can see why Europe is fearing them and taxing them as well.”

This week US Secretary of State Antony Blinken is in China. Trade tensions are on the agenda, alongside the world’s geo-political crises.

The US already imposes a 27.5% tariff on Chinese cars. But in Europe it’s only 10% and that makes companies like VW, Volvo and BMW increasingly nervous.

In Beijing last week German Chancellor Olaf Scholz said: “It’s clear that we have to talk about questions of overcapacity, and that we have to talk about subsidy competition.”

Chinese car company Zeekr is rolling out luxury EVs at its factory near outside the port city of Ningbo. Credit: Lex Ramsay.
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BYD car at Beijing Auto Show Pic: Lex Ramsay


Germany is in a difficult position. As Europe’s largest car manufacturer, it fears that if the EU slaps tariffs on Chinese cars, China could retaliate by restricting access to its vast market.

But the fact is, more than half of all new electric cars sold worldwide are from China and it can make them cheaper and faster than its competitors.

At the end of last year China’s EV giant, BYD, sold more electric cars than Tesla. Tesla was back on top last quarter, but the competition is fierce.

The scale of production is staggering. BYD owns its mines, battery factories and eight ships.

Even a comparatively smaller company like Zeekr is the model of efficiency, with 2,700 workers churning out around 500 cars a day.

The focus on EVs is part of Chinese President Xi Jinping’s plan to overhaul the country’s debt-driven economy. He calls it “new production forces”. Investing in infrastructure is out, new technology is in.

In the industrial hub of Anhui Province, local officials are also brushing off the looming threat of tariffs. Provincial official Pan Feng said: “Some countries, thinking about their short-term self-interests, introduced some regulations, but I think they are only temporary.

“China is a big country, with a big market, it has huge power and confidence to counteract these conflicts.”

Read more from Sky News:
Big questions remain over UK car exports
Supercar maker hit by £375m impairment charge

Chinese buyers are also confident about their country’s electric cars, purchasing more than seven million of them domestically last year.

The country also has more charging stations than anywhere else on the planet.

While charging his BYD electric car in Zhejiang Province, Mr Zhang told us: “Chinese-made cars are good enough for us ordinary Chinese. If you’re thinking of buying an EV, there’s no need to go for a Mercedes or a German EV.”

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Rwanda Bill causing migrants to head for Ireland instead of UK, deputy PM says

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Rwanda Bill causing migrants to head for Ireland instead of UK, deputy PM says

The threat of deportation to Rwanda is causing migrants to head for Ireland instead of the UK, Ireland’s deputy prime minister has said.

The Rwanda Bill, which will see asylum seekers “entering the UK illegally” sent to the central African nation – regardless of the outcome of their application – was passed on Tuesday, despite human rights concerns.

Micheal Martin told The Daily Telegraph that the policy was already affecting Ireland, as people were “fearful” of staying in the UK.

The former Taoiseach said: “Maybe that’s the impact it was designed to have.”

Mr Martin, who is also Ireland’s foreign secretary, said asylum seekers were seeking “to get sanctuary here and within the European Union as opposed to the potential of being deported to Rwanda”.

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His words follow those of justice minister Helen McEntee, who told a scrutiny committee in the Irish parliament earlier this week that migrants and refugees were crossing the border with Northern Ireland.

Ms McEntee said “higher than 80%” of people seeking asylum in Ireland entered the country through Northern Ireland, a border crossing that is open as guaranteed under a UK-EU Brexit treaty.

More on Ireland

It comes amid increasing tension over immigration levels in Ireland, which is grappling with a housing crisis that has affected its own people as well as asylum seekers.

Overnight, six people were arrested during a protest at a site earmarked to house asylum seekers in Newtownmountkennedy in Co Wicklow.

Gardai said officers came under attack after workers were brought onto the site, suffering “verbal and physical abuse throughout the day, which escalated into rocks and other missiles being thrown this evening”.

Fires were lit, an axe was found and officers were “forced to defend themselves” with incapacitant spray, helmets and shields.

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Three patrol cars were also damaged.

Irish broadcaster RTE said protesters accused gardaí of using unnecessary force, and intimidating and aggressive tactics against a legitimate and peaceful protest.

According to RTE, there have been protests during the past six weeks at the site, known as Trudder House or River Lodge.

It is reportedly being considered as a site for 20 eight-person tents housing asylum seekers but some locals have said it is unsuitable and the village’s resources are already over-stretched.

Ms McEntee said there was “a lot of misinformation about migration at the moment”.

She tweeted late on Thursday to promote the EU Migration and Asylum Pact, which she described as “a real game changer” and “something we must opt into”.

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