Zac Goldsmith's unconvincing defence

Cameron must declare that avoiding tax is morally unacceptable

Zac Goldsmith has come out fighting after the Sunday Times exposed his non-domicile tax status, insisting that he derives "very few benefits" from the arrangement.

Goldsmith may say that he plans to relinquish his non-dom status in the near future, but this won't do. What took him until now? Is this promise contingent on his election as a Tory MP?

The Liberal Democrats, whom Goldsmith plans to challenge in Richmond, have unsurprisingly greeted the revelations as an early Christmas present. Susan Kramer's chances of holding on to what was a very winnable seat for the Tories have improved considerably.

Goldsmith's position as the Conservative candidate appears secure. A Tory spokesman rather lamely declared: "Zac Goldsmith's private affairs are a matter for him." CCHQ should make it clear that avoiding tax is no more morally acceptable than claiming excessive expenses.

The Telegraph's Benedict Brogan offers the hope that "grass-roots Tories can summon up as much indignation about those who keep their wealth out of the taxman's reach as they do about the behaviour of women candidates". There doesn't seem to be much chance of that. We're yet to witness a hint of dissent from the local party.

Goldsmith's arrangement, combined with the continuing ambiguity over Lord Ashcroft's tax status, is a gift to the Tories' opponents and could become a headache for the party in the run-up to the election.

David Cameron may have promised to bring in an era of transparent "Google government", but he'd do well to begin by opening up his own party.

 

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George Eaton is political editor of the New Statesman.

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Lord Sainsbury pulls funding from Progress and other political causes

The longstanding Labour donor will no longer fund party political causes. 

Centrist Labour MPs face a funding gap for their ideas after the longstanding Labour donor Lord Sainsbury announced he will stop financing party political causes.

Sainsbury, who served as a New Labour minister and also donated to the Liberal Democrats, is instead concentrating on charitable causes. 

Lord Sainsbury funded the centrist organisation Progress, dubbed the “original Blairite pressure group”, which was founded in mid Nineties and provided the intellectual underpinnings of New Labour.

The former supermarket boss is understood to still fund Policy Network, an international thinktank headed by New Labour veteran Peter Mandelson.

He has also funded the Remain campaign group Britain Stronger in Europe. The latter reinvented itself as Open Britain after the Leave vote, and has campaigned for a softer Brexit. Its supporters include former Lib Dem leader Nick Clegg and Labour's Chuka Umunna, and it now relies on grassroots funding.

Sainsbury said he wished to “hand the baton on to a new generation of donors” who supported progressive politics. 

Progress director Richard Angell said: “Progress is extremely grateful to Lord Sainsbury for the funding he has provided for over two decades. We always knew it would not last forever.”

The organisation has raised a third of its funding target from other donors, but is now appealing for financial support from Labour supporters. Its aims include “stopping a hard-left take over” of the Labour party and “renewing the ideas of the centre-left”. 

Julia Rampen is the digital news editor of the New Statesman (previously editor of The Staggers, The New Statesman's online rolling politics blog). She has also been deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines. 

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