Nadhim Zahawi won’t resign, allies urge amid sleaze allegations – live updates

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Nadhim Zahawi’s allies have insisted that the Conservative Party chairman has no intention of stepping down amid turmoil over his tax affairs.

A source close to the former chancellor said this morning that he is “absolutely not resigning”.

There are growing calls for Rishi Sunak, the prime minister, to sack Zahawi, with Labor claiming the latter’s position is “totally untenable”.

Mr Zahawi released a statement on Saturday confirming he had reached a multi-million pound settlement with HMRC amid claims he had agreed to pay a fine.

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In the statement, Mr Zahawi noted that HMRC concluded that he had made a “negligent and unintentional” error. He also indicated that the agreement was made during his time as chancellor.

You can follow the latest updates below.

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