The Crown Prosecution Service has launched a formal investigation into Sir Jonathan Powell, the former chief of staff to Tony Blair, over his connections to a Chinese technology company while simultaneously advising the Labour Party.
Undisclosed Chinese Links
According to documents obtained by The Independent, Powell failed to register his work with Wuxi-based company Xfusion while serving as an unpaid advisor to Labour leader Sir Keir Starmer. The investigation centres on whether Powell breached transparency rules by not declaring this relationship.
Powell's dual role has raised significant concerns about potential conflicts of interest during a period of heightened sensitivity around Chinese influence in British politics. The veteran political operator had been providing strategic advice to Starmer's office while maintaining business ties to the Chinese firm.
Conservative Party Reaction
The Conservative Party has seized upon the investigation, with a spokesman stating: "This is yet another example of Keir Starmer's poor judgement when it comes to China. While the Conservatives have taken a robust approach to protecting our national security, Labour continues to be entangled with companies linked to the Chinese Communist Party."
Registration Failures
Key aspects of the investigation include:
- Powell's failure to register his Xfusion directorship with the House of Lords
- His continued advisory role with Labour while maintaining Chinese business interests
- Potential breaches of the parliamentary code of conduct
- The timing of his Chinese company involvement alongside political advisory work
Powell, who served as Blair's chief of staff throughout New Labour's time in government, now faces the prospect of formal sanctions if the CPS investigation finds he breached transparency rules.
Labour's Response
Labour sources have indicated that Powell's role was strictly informal and unpaid, describing him as "one of many external voices" who provided occasional advice to the party leadership. However, the failure to disclose concurrent Chinese business interests has created significant political embarrassment for Starmer.
The investigation comes at a sensitive time for UK-China relations and raises broader questions about transparency in political advisory roles. As the CPS probe continues, both Powell and the Labour Party face increasing scrutiny over their handling of relationships with Chinese-connected companies.
