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Lord Ashcroft, the multimillionaire bank-rolling the Conservatives' controversial campaign in marginal constituencies, was last night coming under increasing pressure to explain whether he has honoured pledges, made before he received his peerage, that he would return to the UK and pay income tax.
One promise that he would return was made by the then Tory leader, William Hague, in order to secure the peerage more than seven years ago. A similar assurance had already been given by Lord Ashcroft himself when he settled a libel action with the Times newspaper.
However in 2004, five years after the assurances were given, Lord Ashcroft's main residence was declared in the House of Lords expenses register to be the central American tax haven of Belize, thousands of miles beyond the reach of HM Revenue and Customs.
A spokesman for Lord Ashcroft, who is estimated to have a personal fortune of around £800m, said he had been registered as residing in Belize because he did not have a main residence in the UK at the time. He denied any suggestion that the peer had reneged on the assurances given before he received his peerage. Lord Ashcroft has repeatedly declined to say where he does reside, however, and it is unclear whether he currently pays a penny in UK income tax.
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There was no comment from the Conservative party.
After Lord Ashcroft's nomination for a peerage was rejected in 1999 - in part because of his status as a tax exile - Mr Hague wrote to Downing Street demanding a change of heart on the grounds that the businessman intended to become resident in Britain "in order properly to fulfil his responsibilities in the House of Lords".
Mr Hague added: "This decision will cost him (and benefit the Treasury) tens of millions a year in tax, yet he considers it worthwhile."
Despite this assurance, Lord Ashcroft was said to be resident in Belize during 2004, almost five years later. In October that year, in the House of Lords register of peers' expenses claims, Lord Ashcroft's "location of main residence" was declared to be Belize. A House of Lords spokesman said: "The peers themselves have to put it in writing when they inform the accountants office of their main residence."
Lord Ashcroft has a house in London a short walk from the Lords; it has been owned since 1997 by a company registered at the peer's address in Belize.
In the last seven years he has spoken four times in the Lords, twice after apologising for being late, and has submitted eight questions. Between 2004-6 he voted 63 times out of a possible 259.
He was the party's treasurer when William Hague nominated him for a peerage in 1999, but was turned down on the recommendation of the public honours scrutiny committee. A pledge was then made that the businessman would return to the UK, and a series of letters, which came to light during a case at the high court, outline how that agreement was made.
After writing to Tony Blair at Downing Street, saying that the then Mr Ashcroft was prepared to forfeit tens of millions of pounds a year in taxation, Mr Hague wrote to the chairman of the honours committee, the Liberal Democrat peer Lord Thomson, insisting his party's treasurer had met all of the committee's concerns.
Lord Thomson then wrote to Mr Blair asking him to ensure that Mr Ashcroft was resident in Britain before he took up his seat. In March 2000, when the peerage was finally confirmed, Downing Street issued a statement that "in order to meet the requirements for a working peer, Mr Michael Ashcroft has given his clear and unequivocal assurance that he will take up permanent residence in the UK before the end of the calendar year".
Lord Ashcroft also agreed to return to the UK when settling a libel action against the Times in December 1999, agreeing to the wording of a statement published on the front page of the newspaper, which read: "Mr Ashcroft has told the Times that he recognises the public concern about foreign funding of British politics, and that he intends to reorganise his affairs in order to return to live in Britain."
One promise that he would return was made by the then Tory leader, William Hague, in order to secure the peerage more than seven years ago. A similar assurance had already been given by Lord Ashcroft himself when he settled a libel action with the Times newspaper.
However in 2004, five years after the assurances were given, Lord Ashcroft's main residence was declared in the House of Lords expenses register to be the central American tax haven of Belize, thousands of miles beyond the reach of HM Revenue and Customs.
A spokesman for Lord Ashcroft, who is estimated to have a personal fortune of around £800m, said he had been registered as residing in Belize because he did not have a main residence in the UK at the time. He denied any suggestion that the peer had reneged on the assurances given before he received his peerage. Lord Ashcroft has repeatedly declined to say where he does reside, however, and it is unclear whether he currently pays a penny in UK income tax.
*************
There was no comment from the Conservative party.
After Lord Ashcroft's nomination for a peerage was rejected in 1999 - in part because of his status as a tax exile - Mr Hague wrote to Downing Street demanding a change of heart on the grounds that the businessman intended to become resident in Britain "in order properly to fulfil his responsibilities in the House of Lords".
Mr Hague added: "This decision will cost him (and benefit the Treasury) tens of millions a year in tax, yet he considers it worthwhile."
Despite this assurance, Lord Ashcroft was said to be resident in Belize during 2004, almost five years later. In October that year, in the House of Lords register of peers' expenses claims, Lord Ashcroft's "location of main residence" was declared to be Belize. A House of Lords spokesman said: "The peers themselves have to put it in writing when they inform the accountants office of their main residence."
Lord Ashcroft has a house in London a short walk from the Lords; it has been owned since 1997 by a company registered at the peer's address in Belize.
In the last seven years he has spoken four times in the Lords, twice after apologising for being late, and has submitted eight questions. Between 2004-6 he voted 63 times out of a possible 259.
He was the party's treasurer when William Hague nominated him for a peerage in 1999, but was turned down on the recommendation of the public honours scrutiny committee. A pledge was then made that the businessman would return to the UK, and a series of letters, which came to light during a case at the high court, outline how that agreement was made.
After writing to Tony Blair at Downing Street, saying that the then Mr Ashcroft was prepared to forfeit tens of millions of pounds a year in taxation, Mr Hague wrote to the chairman of the honours committee, the Liberal Democrat peer Lord Thomson, insisting his party's treasurer had met all of the committee's concerns.
Lord Thomson then wrote to Mr Blair asking him to ensure that Mr Ashcroft was resident in Britain before he took up his seat. In March 2000, when the peerage was finally confirmed, Downing Street issued a statement that "in order to meet the requirements for a working peer, Mr Michael Ashcroft has given his clear and unequivocal assurance that he will take up permanent residence in the UK before the end of the calendar year".
Lord Ashcroft also agreed to return to the UK when settling a libel action against the Times in December 1999, agreeing to the wording of a statement published on the front page of the newspaper, which read: "Mr Ashcroft has told the Times that he recognises the public concern about foreign funding of British politics, and that he intends to reorganise his affairs in order to return to live in Britain."
This bugs the hell out of me. Lord Ashcroft is a member of the House of Lords and the Deputy Chairman of the Conservative Party. A couple of months ago, the Guardian revealed that most of the staff in the Tory HQ were actually working for him and not the Conservative Party.
Naturally, he holds no democratic mandate at all. He's bought his way to power. He is, by a vast margin, the biggest contributor to Tory funds, and is poised to spend millions on campaigning in marginal seats in the run-up to the next election.
This is all shady stuff in itself. Now it gets better. It looks like despite being on the verge of becoming a billionaire the bastard pays no income tax.
I'm rewording "No taxation without representation" to read "No taxation = **** off, Ashcroft". Welcome to representative democracy.
LOL
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