A councillor has resigned from his role as chairman of a party movement group amid serious allegations about company expenses.

Jeremy Newmark, who is Hertsmere Labour leader, quit his role at Jewish Labour Movement (JLM) to "to enable him to act in a clear and individual capacity" following an investigation into expenses he made while he worked at the Jewish Leadership Council (JLC).

The Jewish Chronicle has published an internal audit into Mr Newmark's alleged financial dealings while he was chief executive of the trust between 2006 and 2013 which accuse the Labour councillor of billing the JLC for a number of personal activities.

But Cllr Newmark, who represents the Borehamwood Kenilworth ward, has denied the allegations describing them as a "political smear".

A statement from Peter Mason, national secretary at the JLM said: "Jeremy has been in discussion with the JLM national executive committee (NEC) about establishing the best course of action for the movement since Wednesday.

"At all times Jeremy has been clear that the position of the movement is paramount.

"Jeremy has been a key member of JLM’s NEC, and over the last two years has played a crucial role in growing and sustaining the organisation under incredibly difficult circumstances.

"Under his leadership, JLM has experienced a rapid increase in membership and activity, and he has been principled & steadfast in holding the Labour Party to account over antisemitism.

"The NEC wish to make it clear that there are no allegations whatsoever against Jeremy that relate to the Jewish Labour Movement. Our national officers have full oversight of all processes.

"We are confident that they are robust."

Cllr Newmark has said that he is seeking legal advice.