Labour donor gets a knighthood

One of Labour's biggest donors will be awarded a knighthood in the Queen's birthday honours tomorrow, arousing accusations of another "cash for favours" scandal. Gulam Noon, whose Indian "ready meals" empire is worth an estimated £50m, has given £200,000 to Labour since Tony Blair came to power.

Mr Noon, who will be awarded a knighthood for "services to industry", is among a clutch of foreign-born businessmen including Lakshmi Mittal, to benefit from a lucrative tax loophole that Gordon Brown has so far failed to close. The award of the honour was criticised by the Labour MP Alan Simpson, who said it would lead to the perception that Labour donors are being given a "fast track" to honours.

Other Labour donors awarded honours include Lord Sainsbury of Turville, the Science minister, and Lord Paul, the Asian steel magnate who also benefits from the "non-domiciled" tax status that the Chancellor has promised to abolish.