An alleged Chinese spy who forged a close relationship with Prince Andrew has been identified by a British court, the latest twist in a case that has shone a light on Beijing’s influence inside Britain’s institutions.

The man, Yang Tengbo, was identified after a judge ruled his anonymity should be removed, PA Media reported this morning.

Tengbo was described in a separate court hearing last week as developing an “unusual degree of trust” with the younger brother of King Charles III.

Prince Andrew leaves after attending the Christmas day service at St Mary Magdalene Church in Sandringham in 2022. (AP)

In a tribunal hearing on Thursday that upheld an earlier decision to bar Tengbo from the UK, it was revealed that he was authorised to act on Andrew’s behalf during business meetings with potential Chinese investors in the UK, and that he was invited to Andrew’s 60th birthday party in 2020.

Tengbo said in a statement he had “done nothing wrong or unlawful”, and that the “widespread description of me as a ‘spy’ is entirely untrue”, PA Media said.

Concern over China’s influence in Britain’s politics and institutions has been steadily mounting in Westminster in recent years, and the case is just the latest example of an alleged infiltration by Beijing.

Parliament’s Intelligence and Security Committee released a report in 2023 outlining its view that China was seeking to target and influence people in the UK’s political system.

Tengbo is alleged to have worked for China’s United Front Work Department (UFWD), a branch of the ruling Communist Party tasked with gaining influence both at home and overseas. The report described the UFWD – as working to “ensure that politicians and high-profile figures in foreign states are supportive of the CCP, or at the very least do not criticise China or counter its narrative”.

The alleged spy was described in a separate court hearing last week as developing an “unusual degree of trust” with the younger brother of King Charles. (AP)

Two men, one of them a parliamentary researcher, are awaiting trial after being charged with breaching the Official Secrets Act on behalf of China, which they deny.

And in 2022 the MI5 spy agency warned lawmakers that Christine Lee, a woman connected to the Chinese Communist Party, had been working to interfere in the UK political process.

Former Conservative Party leader Iain Duncan Smith, who raised the incident in an urgent question in the House of Commons on Monday, told the BBC the case was “the tip of the iceberg”.

“The reality is that there are many, many more involved in exactly this kind of espionage that’s taking place,” he said.

UK Prime Minister Keir Starmer told reporters on Monday: “Of course we are concerned about the challenge that China poses.”

But he resisted calls to toughen Britain’s policy on China. Starmer in November became the first prime minister to meet with China’s President Xi Jinping for six years. He reiterated on Monday: “Our approach is one of engagement, of co-operating where we need to co-operate, particularly on issues like climate change, to challenge where we must and where we should, particularly on issues like human rights and to compete when it comes to trade.”

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