Angela Rayner, the UK’s deputy prime minister, housing secretary, and deputy Labour leader, has resigned following revelations about a major tax error in her recent property transaction.
The move comes as Sir Keir Starmer’s government faces renewed turmoil, with Downing Street forced into an urgent cabinet reshuffle in response to the crisis.
Report faults Rayner for tax advice failures
Rayner’s departure follows a report by Starmer’s ethics adviser, Sir Laurie Magnus, which found that she failed to seek “specific tax advice” regarding stamp duty on an £800,000 flat in Hove, East Sussex.
Magnus stated her “unfortunate failure” to fully settle her tax liability meant Rayner could not be said to meet the “highest possible standards of proper conduct” expected of senior government figures.
Starmer expresses regret and reshuffles the cabinet
In a resignation letter to Prime Minister Starmer, Rayner expressed deep regret over her handling of the tax matter and her decision not to seek specialist advice, particularly given her senior position and personal circumstances.
Starmer responded, “You will remain a major figure in our party,” acknowledging her significant contributions and expressing sadness at her exit.
The prime minister now faces the challenge of maintaining party unity while preparing for a tough Budget in November, with lingering questions over public trust and government integrity.
Rayner’s rise and fall shakes Labour
Rayner’s resignation marks the downfall of one of Labour’s most prominent figures.
Having risen from a working-class childhood to hold three of the most senior roles in government, her story garnered widespread admiration across the political spectrum.
Her decision to pay only £30,000 of stamp duty, instead of the £70,000 required for a second property, left Starmer confronting accusations of double standards as he asks voters to accept tax hikes at a time when his own deputy had underpaid her own liabilities.
Allies blame erroneous professional advice for her tax misstep, but critics claim the scandal has badly damaged Labour’s credibility.
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