Rishi Sunak faces probe over claims he failed to declare an interest
Rishi Sunak is facing an investigation by the House of Commons sleaze watchdog over claims he failed to declare his wife’s interest in a childcare business.
Parliamentary commissioner Daniel Greenberg has launched an investigation following criticism that the prime minister failed to mention Akshata Murty’s importance when discussing the £4bn increase for childcare in the budget.
Downing Street flatly denied breaking any rules at the time, arguing it just needed to be declared in the ministerial register.
However, no version of that register has been published since May last year, when Boris Johnson was prime minister.
A spokeswoman for No10 responded today: ‘We are happy to help the Commissioner clarify how this has been declared transparent as a ministerial interest.’
The Code of Conduct states: ‘Members must always be open and frank when declaring relevant interests in proceedings of the House or its committees, and in all communication with ministers, members, civil servants or public office holders.’
Rishi Sunak is facing an investigation by the Commons watchdog over claims he has shown no interest
It is not the first time that the financial affairs of Ms Murty, the daughter of billionaire Indian IT mogul Narayana Murthy, have embarrassed Mr Sunak
The Prime Minister’s failure to inform MPs of his wife’s interest has led to demands that Mr Sunak’s ethics adviser, Sir Laurie Magnus, launch an investigation
Mr Sunak’s name has been added to the list of MPs under investigation by the Commons Standards Commissioner
Ms. Murty is listed as a shareholder of the London-based agency in Companies House filings on March 6 this year
Who is Akshata Murty?
The Prime Minister’s wife is the daughter of billionaire Indian IT mogul Narayana Murthy.
Akshata, 42, married Rishi Sunak in 2009 in a lavish ceremony in Bengaluru, India.
The couple had met while studying at Stanford University in California.
During their first years together, Akshata pursued a career in fashion and founded her own company, Akshata Designs, in 2007.
Her wealth comes primarily from the 0.93 percent stake she has in her father’s company, Infosys.
She and Mr. Sunak also founded their own investment company called Catamaran Ventures.
When he became prime minister in October, Mr Sunak and his wife decided to move themselves – as well as their two daughters, Krishna, 11, and Anoushka, nine – into the flat above number 10 where they previously lived when he was chancellor.
This is different from previous prime ministers who have mostly lived in the larger flat above number 11 in recent times.
The Prime Minister’s press secretary explained their choice of residence and said the family was “very happy” there during Mr Sunak’s time as head of the treasury.
The prime minister’s wife has come to play an increasingly prominent role in Mr Sunak’s political career.
In April last year, she was forced to admit she had non-dom tax status in the UK, which threatened to derail her husband’s ambitions.
But the couple survived the fierce scrutiny of their financial affairs and Mrs Murty now takes on the role of ‘First Lady’ as the Prime Minister’s wife.
As well as a five-bedroom Kensington Mews house valued at an estimated £7 million, Mrs Murty and Mr Sunak also own a flat in West London, a £2 million mansion in Mr Sunak’s constituency of Yorkshire and a £5.5 million penthouse in Santa Monica, California.
Last month, Downing Street denied that Mr Sunak had broken rules by failing to mention his wife Akshata Murty’s interest in a childcare business.
The Prime Minister did not disclose Ms Murty’s investment in Koru Kids when questioned about his £4bn boost to the childcare sector in this month’s budget.
She is listed as a shareholder of the London-based agency in Companies House documents on March 6 this year.
Koru Kids will benefit from the major upheaval in the child care sector by Mr Sunak and Chancellor Jeremy Hunt.
The Prime Minister’s failure to inform MPs of his wife’s interest led to demands for Mr Sunak’s ethics adviser, Sir Laurie Magnus, to investigate.
But the Prime Minister’s press secretary said at the time: ‘The ministerial code describes a process by which ministers express their interests.
‘They do this in writing, in this case to the cabinet secretary. That process has been followed to the letter by the Prime Minister.’
She added: “He explained the interest in the usual way — he followed the process.”
The Prime Minister’s press secretary stressed that Sunak was also pleased that he had adhered to parliamentary obligations regarding declaring financial interests when answering questions from fellow MPs.
Liberal Democrat frontbencher Wendy Chamberlain said: ‘Another day and another accusation from a Conservative prime minister bending the rules.
“This is the same day that Rishi Sunak may have broken election rules for his government announcement today.
“After months of conservative sleaze and scandal, the public just wants a government that focuses on the country, rather than trying to save their own ass.”
Koru Kids is one of six childminder agencies listed on the government’s website.
The company welcomed the budget announcement on its website, touting the “great” new incentives open to childminders.
It said a bonus of ‘£1,200 – yes double’ would be paid ‘when you come through an agency like Koru Kids that offers community, training and ongoing support’.
The most recent register of ministerial interests only mentions that Ms Murty owns a venture capital investment company known as Catamaran Ventures UK.
But the Register of Ministerial Interests has not been updated since May last year, since then there have been a slew of changes in government ranks, including the departures of Boris Johnson and Liz Truss as Prime Minister.
Ministers are expected to provide a written list of all financial interests that ‘could lead to conflict’.
The ‘interests of their spouse, partner or close relatives’ are taken into account in the information to be provided.
But they may not appear on the completed list if it is assumed that there is no problem.
It is not the first time that the financial affairs of Ms Murty, the daughter of billionaire Indian IT mogul, Narayana Murthy, have embarrassed Mr Sunak.
He faced a bitter row last year when Ms Murty was revealed to have non-dominant tax status.
In February, it was revealed that Ms Murty owned shares in a collapsed company that took nearly £300,000 in taxpayer-funded loans under schemes set up by Mr Sunak when he was chancellor.