Media playback is unsupported on your device

I did not avoid tax, says Nigel Farage

21 June 2013 Last updated at 23:44 BST

UK Independence Party leader Nigel Farage said he "felt uncomfortable" about setting up a trust fund in the Isle of Man but insisted he did not avoid or evade tax.

The MEP told the BBC that he opened the fund in 2003 to reduce his family's inheritance tax bills but quickly realised that he had made an "error".

Such funds were no longer appropriate for politicians, he suggested.

The Conservatives said that Mr Farage had "questions to answer".

Vicki Young reports.

Most watched

Copyright © 2015 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.