Labour challenges Nadhim Zahawi over tax and £26m business loan

Nadhim Zahawi, the chancellor of the exchequer, says he has always paid his UK taxes and would answer any questions if asked them by HMRC. Photograph: Tayfun Salcı/Zuma Press Wire/Rex/Shutterstock

The shadow treasury minister, Pat McFadden, has written to Nadhim Zahawi, challenging him to provide more clarity about his tax and financial affairs.

Since becoming chancellor after Rishi Sunak resigned earlier this month, Zahawi has faced persistent questions about his relationship to a Gibraltar-based firm, Balshore Investment, controlled by his parents.