Tony and Cherie Blair did not have to pay £312,000 in stamp duty when buying a £6.45m London townhouse, leaked documents have revealed.
The former Labour Prime Minister and his barrister wife bought the multi-million-pound property as an office for her business in 2017 by buying the offshore firm that owned it.
Mrs Blair said the sellers had insisted the building was sold in this way but they had brought it under UK control, she said they would be liable to pay capital gains tax if they sell it.
When the property was put up for sale, the ultimate owners were a family with political connections in Bahrain – but both parties claim they did not initially know who they were dealing with.
Cherie Blair said her husband’s only involvement in the transaction was that the mortgage for the property used their joint income and capital.
Since leaving Downing Street in 2007, the Blairs have built up a significant property portfolio. Altogether they are reported to have spent more than £30m on 38 residential properties before they bought the office.
Documents show how the way the property in Harcourt Street, Marylebone, was acquired in July 2017 saved the Blairs a bill for stamp duty.
The four-floor building is now home to Mrs Blair’s legal advisory firm, Omnia Strategy, and her foundation for women.
In his first speech as Labour leader in 1994, Mr Blair said: “Millionaires with the right accountant pay nothing while pensioners pay VAT on fuel.
“Offshore trusts get tax relief while homeowners pay VAT on insurance premiums. We will create a tax system that is fair which is related to ability to pay.”
Robert Palmer from campaign group Tax Justice UK told Panorama: “It partly doesn’t look great because most people cannot do the same thing… even if what the Blairs did was perfectly legal, perfectly legitimate in the business world, it feels instinctively really unfair because they got access to an advantage, a potential advantage that the rest of us don’t have.”
Editor-in-Chief | Carl D. Pearson has been involved in British politics and media from an early age, with the key knowledge of what it takes to run a news organisation for the 21st century. Mr Pearson, as Editor-in-chief, is responsible for supervising the daily tasks of publishing media and content to UNN’s website and various platforms.
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