Angela Rayner has resigned from her roles as Deputy Prime Minister, Housing Secretary, and Deputy Leader of the Labour Party following an ethics investigation into her underpayment of stamp duty on a flat she purchased in Hove earlier this year.
The resignation marks a significant blow to Prime Minister Keir Starmer, who now faces the challenge of navigating a cabinet reshuffle amid growing scrutiny and political turbulence.
Stamp Duty Misstep Leads to Ministerial Code Breach
The controversy centers on Rayner’s £800,000 property purchase in East Sussex, where she paid £30,000 in stamp duty instead of the £70,000 required for a second home. Rayner had claimed the flat was her primary residence, citing complex family arrangements involving a trust set up for her disabled son. However, conflicting public statements and legal documents suggested otherwise.
Sir Laurie Magnus, Starmer’s independent ethics adviser, concluded that Rayner had breached the ministerial code. While his report acknowledged her “integrity” and “exemplary commitment to public service,” it also noted that she failed to seek specialist tax advice and did not heed cautionary legal guidance.
Rayner accepted full responsibility, writing in her resignation letter:
“I deeply regret my decision to not seek additional specialist tax advice… It was never my intention to do anything other than pay the right amount”.
Starmer’s Response and Cabinet Reshuffle
Starmer, who had previously expressed confidence in Rayner, accepted her resignation and thanked her for her service. Though not formally dismissed, her departure was widely expected following the ethics report.
The Prime Minister is now preparing a broader cabinet reshuffle to restore momentum. Sources confirm that Chancellor Rachel Reeves will remain in her post, signaling continuity in economic policy. However, other ministerial roles are reportedly under review, with speculation mounting about potential replacements for Rayner’s housing brief.
Political Fallout and Rayner’s Future
Rayner’s exit leaves a vacuum in Labour’s leadership, particularly given her influence over key policies such as housing reform and workers’ rights. Her departure from government does not affect her elected role as MP for Ashton-under-Lyne, and many are watching closely to see how she will wield her voice from the backbenches.
Political analysts note that Starmer “really didn’t need this,” especially given Rayner’s prominence and the triple weight of her roles. The timing—on what is typically a quiet Friday in Westminster—adds to the drama of a week already fraught with challenges for the government.
As the dust settles, attention now turns to who will step into Rayner’s shoes—and whether Starmer can use this moment to reset his administration’s trajectory.
