Angela Rayner resigns from government. She leaves her role as Deputy Prime Minister. She also steps down as Housing Secretary. Furthermore, she resigns as deputy Labour leader. This follows a controversy over her taxes. She underpaid stamp duty on a flat. The property is in Hove. It was worth £800,000.
Therefore, the Prime Minister’s ethics adviser investigated. Sir Laurie Magnus led the inquiry. He said Rayner acted with integrity. However, he found a breach of the ministerial code. However, she did get legal advice initially. But she failed to get specialist tax advice. This was a crucial mistake.
Consequently, Rayner accepted her error. She wrote a letter to the Prime Minister. She said she did not meet the highest standards. Also, she expressed deep regret for her decision. Her family arrangements were complex. She takes full responsibility for the error. It was never her intention to underpay.
Therefore, Angela Rayner resigns from her powerful positions. This is a massive blow to the Prime Minister. He recently reshuffled his team. He hoped to reset his government’s difficult first year. Her departure triggers a major ministerial reshuffle.
Furthermore, David Lammy becomes the new Deputy Prime Minister. He leaves his job as Foreign Secretary. He will also serve as Justice Secretary. Shabana Mahmood moves to the Home Office. Yvette Cooper takes the Foreign Secretary role. Steve Reed is the new Housing Secretary.
Additionally, a deputy leadership election is now expected. This contest could create problems for the Prime Minister. It might become a way for members to show discontent.
Sir Keir Starmer replied to Rayner’s resignation. He said it was the right decision. He called it very painful. Also, he praised her as a trusted colleague and true friend. He said she would remain a major figure in the Labour Party.
Conversely, Conservative leader Kemi Badenoch criticized the Prime Minister. She said Rayner should have been sacked days ago. She called Starmer weak for not acting faster.
However, Angela Rayner was first elected ten years ago. She represented Ashton-under-Lyne. Therefore, she joined the frontbench in 2015. She became very popular with Labour MPs. However, her fortunes changed last week.
Newspapers began asking questions. They focused on her tax payments for the flat. Her team first insisted she paid correctly. Then, she sought advice from a senior lawyer. The lawyer’s opinion forced her acknowledgment. She had made a mistake.
She believed the Hove flat was her only property. However, a trust for her disabled son complicated things. This made it a second home legally. Therefore, she owed an extra £40,000 in stamp duty. She has now contacted HMRC to pay. She also referred herself for investigation.
Sir Laurie Magnus concluded his investigation. He said it was deeply regrettable. Expert advice would have likely told her to pay more. The taxpayer’s responsibility is ultimate. She might also face a fine from HMRC. The penalty could be £12,000 for a careless error.
Ultimately, Angela Rayner resigns amid this scandal. Her political career faces a major setback. The government must now navigate a sudden reshuffle. The Labour Party loses a key figure.
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