Labour attacks pounds 1m Tory donation

THE GOVERNMENT called on William Hague to reveal the identity of a pounds 1m mystery cash donor to the Tory party last night amid claims that it exploited aa tax loophole.

The Chief Secretary to the Treasury, Stephen Byers, told the Commons that the Tories' treasurer, Michael Ashcroft, was linked to the payment. In a deliberate attempt to take the pressure off allegations about the tax status of the Pay-master-General, Mr Byers said the public had a right to know who had made the donation. "Why the secrecy? The only logical conclusion is the donor is registered in a tax haven."

A Tory spokesman admitted Mr Ashcroft was "linked" to the donor, but denied there had been any tax dodge.