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Nadhim Zahawi’s failure to disclose that he was in discussions with HMRC over his taxes was a “serious failure to meet” ministerial standards, a damning report into the affair has found.

Sir Laurie Magnus, who carried out the investigation as the prime minister’s new ethics adviser, said the former chancellor “should have understood” from the outset that he was under investigation by HMRC and that it was a “serious matter”.

He also criticised the MP for Stratford-on-Avon for failing to correct the record for more than six months, after he dismissed reports that HMRC was “looking into” his tax affairs as “smears” during a July 2022 interview with Sky News’s Kay Burley.

Mr Zahawi was sacked as Tory party chairman on Sunday by Prime Minister Rishi Sunak following the publication of Sir Laurie’s report, which looked into whether the former minister had fallen foul of the ministerial code.

Here Sky News looks at the key points in Sir Laurie’s report:

‘Mr Zahawi should have understood this was a serious matter’

“Mr Zahawi has told me that he had formed the impression that he and his advisers were merely being asked certain queries by HMRC concerning his tax affairs, and that this impression persisted until he received a letter from HMRC on 15 July 2022.

Sir Laurie Magnus
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Sir Laurie Magnus

“On the basis of the confidential information to which I have had access, including correspondence between HMRC and Mr Zahawi personally, I consider that an individual subject to the HMRC process faced by Mr Zahawi should have understood at the outset that they were under investigation by HMRC and that this was a serious matter.”

‘Investigation was a relevant matter for a minister to declare’

“I consider that an HMRC investigation of the nature faced by Mr Zahawi would be a relevant matter for a Minister to discuss and declare as part of their declaration of interests.

“I would expect a Minister to inform their Permanent Secretary and to seek their advice on any implications for the management of their responsibilities.

Politics news – latest: Zahawi attacks media after sacking

“I would likewise expect a Minister proactively to update their declaration of interests form to include details of such an HMRC process.”

‘Mr Zahawi’s failure to declare investigation did not meet ministerial standards’

“After his appointment as Chancellor on 5 July 2022, Mr Zahawi completed a declaration of interests form which contained no reference to the HMRC investigation.

“A later form acknowledged (by way of an attachment) that Mr Zahawi was in discussion with HMRC to clarify a number of queries.

“Only following receipt of HMRC’s letter received on 15 July 2022, did Mr Zahawi update his declaration of interests form to acknowledge that his tax affairs were under investigation, but he provided no further details other than the statement made previously that he was clarifying queries.

File pic: Rishi Sunak and Nadhim Zahawi

“Given the nature of the investigation by HMRC, which started prior to his appointment as Secretary of State for Education on 15 September 2021, I consider that by failing to declare HMRC’s ongoing investigation before July 2022 – despite the ministerial declaration of interests form including specific prompts on tax affairs and HMRC investigations and disputes – Mr Zahawi failed to meet the requirement to declare any interests which might be thought to give rise to a conflict.”

‘Mr Zahawi failed to declare HMRC investigation ended in penalty’

“The subsequent fact that the investigation concluded with a penalty in relation to the tax affairs of a Minister also requires declaration and discussion.

“It is a relevant interest which could give rise to a conflict, and particularly so in the case of HM Treasury Ministers and the Chancellor of the Exchequer, who has responsibility for the UK tax system.

Read more:
Nadhim Zahawi sacked as Tory chairman over tax affairs row
In full: Prime Minister Rishi Sunak’s letter sacking Nadhim Zahawi

“As a result of my inquiries, I conclude that Mr Zahawi failed to update his declaration of interest form appropriately after this settlement was agreed in principle in August 2022.

“It was not until mid-January 2023 that details of the earlier HMRC investigation and its outcome were declared.”

‘Omissions constitute a serious failure to meet ministerial standards’

“I also conclude that, in the appointments process for the governments formed in September 2022 and October 2022, Mr Zahawi failed to disclose relevant information – in this case the nature of the investigation and its outcome in a penalty – at the time of his appointment, including to Cabinet Office officials who support that process.

“Without knowledge of that information, the Cabinet Office was not in a position to inform the appointing Prime Minister.

“Taken together, I consider that these omissions constitute a serious failure to meet the standards set out in the Ministerial Code.”

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Zahawi in July 2022: ‘I’ve always declared my taxes’

Nadhim Zahawi’s interview with Sky News in July 2022

What Mr Zahawi said:

“There have been news stories over the last few days which are inaccurate, unfair and are clearly smears. It’s very sad that such smears should be circulated and sadder still that they have been published.

“These smears have falsely claimed that the Serious Fraud Office, the National Crime Agency, and HMRC are looking into me. Let me be absolutely clear. I am not aware of this. I have not been told that this is the case.

“I’ve always declared my financial interests and paid my taxes in the UK. If there are questions, of course, I will answer any questions HMRC has of me.”

What Sir Laurie said about the statement:

“Mr Zahawi has told me that at the time of this statement, he was under the impression that he was answering HMRC’s queries, but that he was not under investigation.

“I consider that an individual subject to the HMRC process faced by Mr Zahawi should have understood that they were under investigation by HMRC and that this was a serious matter.

“Under the Ministerial Code, Ministers have a duty to ‘be as open as possible with Parliament and the public’.

“Whilst this duty clearly does not extend to disclosing personal tax information, it does include a general duty to be accurate in statements to ensure a false impression is not given or maintained.

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PM took ‘decisive action’ on Zahawi, says Gove

“Mr Zahawi did not correct the record until 21 January 2023, when Mr Zahawi’s public statement indicated that he had reached a settlement with HMRC following an investigation.

“I consider that this delay in correcting an untrue public statement is inconsistent with the requirement for openness.”

‘Insufficient regard for Ministerial Code’

“I consider that Mr Zahawi, in holding the high privilege of being a Minister of the Crown, has shown insufficient regard for the General Principles of the Ministerial Code and the requirements in particular, under the seven Principles of Public Life, to be honest, open and an exemplary leader through his own behaviour.

“I want to commend Mr Zahawi for his willingness to assist with my inquiry. I also fully appreciate the pressures faced by Ministers as they address the complex issues of government and the difficulties they encounter in balancing the demands of their personal lives and their ministerial responsibilities.

“These factors, however, cannot mitigate my overall judgement that Mr Zahawi’s conduct as a Minister has fallen below the high standards that, as Prime Minister, you rightly expect from those who serve in your government.”

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Japan’s parliament votes in country’s first ever female PM

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Japan's parliament votes in country's first ever female PM

Japan’s parliament has voted in the country’s first ever female prime minister.

Sanae Takaichi won 237 votes in the 465-seat lower chamber of parliament, and is also set to secure a majority in the less powerful upper house before being sworn in later today.

Tuesday’s votes came after her Liberal Democratic Party agreed to a coalition with the right-wing Japan Innovation Party yesterday.

The last-minute deal came after the Liberal Democrats lost its longterm partner, the Buddhist-backed Komeito, which has a more centrist stance.

Incumbent prime minister Shigeru Ishiba, of Ms Takaichi’s party, announced his resignation last month.

The new prime minister stands and bows after the vote. Pic: AP
Image:
The new prime minister stands and bows after the vote. Pic: AP

While Ms Takaichi’s election marks the shattering of a glass ceiling for Japan, it also marks a sharp tack to the right.

She is a staunchly conservative figure who cites Margaret Thatcher as an inspiration, and comes to power at a time when the country is increasingly worried about the cost of living and immigration.

Japan is currently grappling with rising prices that have sparked public anger, fuelling support for oppositions groups including the far-right Sanseito party.

Japanese lawmakers electing the new PM at the Lower House of Parliament in Tokyo. Pic: Reuters
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Japanese lawmakers electing the new PM at the Lower House of Parliament in Tokyo. Pic: Reuters

Ms Takaichi’s untested alliance is still short of a majority in both houses of parliament and she will need to win over other opposition groups to pass any legislation – which could make her government unstable.

She said at Monday’s signing ceremony: “Political stability is essential right now. Without stability, we cannot push measures for a strong economy or diplomacy.”

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While she is Japan’s first female PM, Ms Takaichi has previously shown she is in no rush to promote gender equality or diversity.

She is among the Japanese politicians who have stonewalled measures for women’s advancements and she supports the imperial family’s male-only succession, while opposing same-sex marriage and allowing separate surnames for married couples.

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UK ‘ready to spend well over £100m’ on possible deployment of British troops to Ukraine

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UK 'ready to spend well over £100m' on possible deployment of British troops to Ukraine

The UK is ready to spend “well over” £100m on a possible deployment of British forces to Ukraine if Donald Trump secures a peace deal with Russia, the defence secretary has said.

John Healey also said Vladimir Putin views Britain as his “number one enemy” because of the country’s support for Ukraine.

The defence secretary’s plan includes the preparation of military personnel to join a multinational force that would be sent to help secure Ukraine’s borders if the US president brokers a ceasefire between Moscow and Kyiv.

He signalled British troops could be ready to deploy as soon as that happened and he said this could include soldiers on the ground.

Some of the anticipated money to prepare for any mission is already being spent.

The defence secretary also warned of a “new era of threat” and said the risk of wider conflict in Europe has not been as great since the end of the Second World War.

Mr Healey used a lecture at Mansion House in London to talk about efforts led by the UK and France to build a “coalition of the willing” of more than 30 nations to form what he called a “Multinational Force Ukraine” over the past six months.

At Mansion House this evening. Pic: PA
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At Mansion House this evening. Pic: PA

This force would help to secure Ukraine’s skies and seas and train its troops if Russia agrees to halt its full-scale war.

“So, as President Trump leads the push for peace here in Europe, we are ready to lead the work to secure it in the long-term,” the defence secretary said.

“For our Armed Forces, I am already reviewing readiness levels and accelerating millions of pounds of funding to prepare for any possible deployment into Ukraine.”

Asked how much money, he said it would be “well over” £100m.

British troops have been instrumental in the training of Ukrainian soliders throughout the conflict at camps like this one in East Anglia.Pic: PA
Image:
British troops have been instrumental in the training of Ukrainian soliders throughout the conflict at camps like this one in East Anglia.Pic: PA

Mr Healey trumpeted the UK’s support for Ukraine, including a record £4.5bn in assistance this year, and taking over from the United States in co-chairing a wider group of nations that have been sending weapons and money to Kyiv.

“This is why President [Volodymyr] Zelenskyy calls the UK his closest ally,” he said.

“This is why Putin ranks Britain as his number one enemy.”

But he warned that as Russia’s aggression grew in Ukraine and beyond its borders, “Britain and our NATO allies stand more unified, and stronger”.

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Vladimir Putin. Pic: Sputnik/Reuters
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Vladimir Putin. Pic: Sputnik/Reuters

Giving a stark verdict of the security landscape, Mr Healey said: “This is – undeniably – a new era of threat. The world is more unstable, more uncertain, more dangerous. Not since the end of the Second World War has Europe’s security been at such risk of state-on-state conflict.”

He said this required what he described as “a new era for defence”.

He said: “This is now an age for hard power, strong alliances and sure diplomacy.”

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The defence secretary said plans for the new era would include increasing defence spending to 5% of GDP by 2035 – though critics have accused the UK and other European allies of playing smoke and mirrors with the target, questioning how much will really be spent on weapons and troops.

“As I look ahead to the rest of this decade, our task, in this new age of hard power is to secure peace in our continent and to forge stronger deterrence and resilience, a New Deal for European security,” said Mr Healey.

Turning to the Middle East, he also announced the UK was sending a two-star military officer to work as the deputy to the US commander, charged with monitoring the ceasefire between Israel and Hamas.

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What will happen to stolen Louvre jewellery? All we know about ‘theft of the decade’

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What will happen to stolen Louvre jewellery? All we know about 'theft of the decade'

A number of “priceless” objects were stolen from the Louvre in Paris, in what has been called the “theft of the decade”.

In broad daylight, thieves broke into the world-famous museum and accessed a gallery containing the French Crown Jewels.

A manhunt for those responsible is currently ongoing, with police facing a “race against time” to retrieve the jewels before they are dismantled.

Here’s all you need to know.

How the heist unfolded

The heist took place at roughly 9.30am (8.30am UK time), half an hour after the Louvre had opened its doors to the public.

The thieves used a crane that was mounted on the back of a small truck to smash an upstairs window and enter the Galerie d’Apollon.

Police officers work by a crane believed to have been used by thieves. Pic: AP
Image:
Police officers work by a crane believed to have been used by thieves. Pic: AP

This is an enormous room on the upper floor of the Petite Galerie, which houses the French Crown Jewels as well as the royal collection of hardstone vessels, paintings, tapestries and medallions, the museum’s website says.

The thieves smashed two display cases and fled on motorbikes. No-one was hurt in the incident.

Guards were alerted to the scene by alarms that went off when the cases were smashed, but the thieves had already left.

It is not clear if the gang brought any or all of the equipment they used with them, as construction work is taking place along the River Seine side of the building where the break-in occurred.

The entire theft took between six and seven minutes.

What was stolen?

A total of nine objects were targeted in the heist, and eight were actually stolen. The thieves dropped the ninth one, the crown of Napoleon III’s wife, Empress Eugenie, during their escape.

Officials have described the stolen items as having “inestimable” historical value.

The following pieces remain missing:

What will happen to the jewellery?

Art detective Arthur Brand described the heist as “the theft of the decade” – adding that in order to recover the “priceless” items, police will need to find the culprits within the week.

“These crown jewels are so famous, you just cannot sell them,” Mr Brand told Sky News. “The only thing they can do is melt the silver and gold down, dismantle the diamonds, try to cut them. That’s the way they will probably disappear forever.”

He continued: “They [the police] have a week. If they catch the thieves, the stuff might still be there. If it takes longer, the loot is probably gone and dismantled. It’s a race against time.”

The tiara (top), necklace (middle) and one earring were taken from the Queen Marie Amelie sapphire set. Pic: Louvre
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The tiara (top), necklace (middle) and one earring were taken from the Queen Marie Amelie sapphire set. Pic: Louvre

Tobias Kormind, managing director of Mayfair-based 77 Diamonds, agreed, saying it is “unlikely” the jewels will ever be seen again.

“Professional crews often break down and re-cut large, recognizable stones to evade detection, effectively erasing their provenance,” he said.

Emerald necklace and earrings from the parure of Empress Marie-Louise. Pic: The Louvre
Image:
Emerald necklace and earrings from the parure of Empress Marie-Louise. Pic: The Louvre


Authorities have said forensic teams are currently reviewing CCTV from the Denon wing and the riverfront of the museum, inspecting the crane used to reach the gallery and interviewing staff who were on site when the museum opened.

Who was behind the heist?

According to French media, there were four perpetrators: two dressed as construction workers in yellow safety vests on the lift, and two others who had a scooter each.

French authorities have not confirmed these details; however, one yellow vest has been recovered from the scene.

Culture Minister Rachida Dati told French news outlet TF1 that footage of the theft showed the masked robbers entering “calmly” and smashing display cases containing the jewels. No one was injured in the incident.

A window believed to have been used in the robbery. Pic: Reuters
Image:
A window believed to have been used in the robbery. Pic: Reuters

She described the thieves as seemingly being “experienced” with a well-prepared plan.

Paris Prosecutor Laure Beccuau told BFM TV that the robbers were unarmed but threatened guards with angle grinders.

The group also tried and failed to set fire to the crane they used to enter the Louvre.

A key question that remains is whether the robbers had inside assistance, authorities said.

French interior minister Laurent Nunez said the specialised police unit, which has a high success rate in cracking high-profile robberies, is leading the investigation.

Ms Beccuau added that investigators were keeping all leads open, but authorities were “looking at the hypothesis of organised crime”.

She said the thieves could have been working for a buyer, or seeking to get access to jewels that can be useful to
launder criminal proceeds.

Questions over security

Big questions are now being asked about the security in place at the Louvre, and how effective it is.

Earlier this year, officials at the Louvre requested urgent help from the French government to restore and renovate the museum’s ageing exhibition halls and better protect its countless works of art.

Police officers near the pyramid of the Louvre museum. Pic: Reuters
Image:
Police officers near the pyramid of the Louvre museum. Pic: Reuters

French justice minister Gerard Darmanin said on Monday that the heist gave a very negative image of France as it implied a failure of security services.

“There are many museums in Paris, many museums in France, with priceless values ​​in these museums,” Mr Darmanin said in an interview with French radio station France Inter.

“What is certain is that we failed,” he said, adding the police will eventually arrest the authors.”

French President Emmanuel Macron said in a post on X that everything was being done to recover the stolen jewellery and bring the perpetrators to justice.

While culture minister Rachida Dati said the issue of museum security was not new.

“For 40 years, there was little focus on securing these major museums, and two years ago, the president of the Louvre
requested a security audit from the police prefect. Why? Because museums must adapt to new forms of crime,” she said.

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