UK PM Rishi Sunak, wife Akshata Murthy, wealthiest occupants of Downing Street in history, to move back to smaller flat

Newly-appointed British Prime Minister Rishi Sunak and his family will be returning to live in a smaller flat above 10 Downing Street as they were "very happy there," his spokesperson has said.

10 Downing Street has been the residence of British prime ministers since 1735, says the government's website. It has three functions - the official residence of the Prime Minister, their office and where the prime minister entertains guests from world leaders to royalty.

Sunak, along with his wife Akshata Murty and two daughters, stayed in the flat when he was chancellor to former prime minister Boris Johnson. Many Prime Ministers of recent years - especially those with children - have lived in the larger flat above No 11, officially designated for the chancellor.

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Asked why Sunak has opted for No 10 instead, a Downing Street spokeswoman said on Wednesday, "They were very happy there." The residential areas inside Downing Street, are generally kept away from the public eye.

Speaking to the Times newspaper in August during the hectic summer leadership contest, Sunak said the family would "probably just move back into the flat where we used to live, to be honest" if elected.

In April, before Sunak resigned as chancellor, his family moved out of Downing Street to their west London house to be closer to their children's school.

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Sunak on Tuesday took charge as Britain's first Indian-origin Prime Minister. The 42-year-old investment banker-turned-politician is the youngest British prime minister in 210 years. He is also Britain's first Hindu Prime Minister.

With an estimated net fortune of 730 million pounds that includes multiple properties in Britain and the US, a string of business interests and even a fleet of cars, UK PM Rishi Sunak, and his Stanford-educated spouse Akshata Murthy are by far the wealthiest occupants of Downing Street in the history.