The Prime Minister said Frank Hester's alleged remarks about Diane Abbott were "racist" but "remorse should be accepted" because he has "rightly apologised".
He also accused Sir Keir Starmer yesterday of "double standards" at Prime Minister's Questions as the two leaders clashed over the row.
The millionaire Tory party donor reportedly said Ms Abbott, Britain's longest-serving black MP, made him "want to hate all black women" and that she "should be shot".
During fiery Commons exchanges the Labour leader grilled the PM over how he felt about being "bankrolled" by Mr Hester.
As Ms Abbott, now an Independent MP, watched from the Opposition benches, Mr Sunak said: "The alleged comments were wrong, they were racist. There is no place for racism in Britain and the Government I lead is living proof of that." Mr Sunak insisted he would not "take lectures" from Labour, who he accused of "double standards" when senior figures had used inappropriate language.
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