Angela Rayner is set to step down as deputy prime minister, housing secretary, and deputy leader of the Labour Party, Sky News understands.
The decision follows revelations that she failed to pay the correct amount of stamp duty on a property in Hove, East Sussex, which she bought while already owning another home.
Ms Rayner, who is widely regarded as Sir Keir Starmer’s right-hand figure, said she initially relied on legal advice indicating the standard rate applied. However, following media scrutiny, she sought further expert guidance, which confirmed additional tax was owed.
Speaking earlier this week on the Electoral Dysfunction podcast with Sky News political editor Beth Rigby, Ms Rayner admitted she should have handled the matter differently. She described the oversight as “a serious error” and accepted responsibility.
The move effectively ends her tenure as one of the most prominent members of Labour’s frontbench and her role as the party’s elected deputy leader.
Labour insiders said the resignations were “entirely her decision” and came after discussions with Sir Keir Starmer, who is understood to have urged her to act quickly to maintain party integrity.
Political commentators have said the resignation could damage Labour’s image ahead of upcoming local and national elections, raising questions about the party’s handling of ethics and transparency at the top level.
Opposition parties were quick to seize on the news. A Conservative spokesperson told Sky News: “Labour must explain why its senior figures continue to flout the rules that ordinary people follow. Angela Rayner’s resignation is long overdue.”
Meanwhile, within Labour, reactions were more sympathetic. Colleagues praised Ms Rayner for taking responsibility and said her departure would allow the party to move forward without further distraction.
Ms Rayner has been a key figure in Labour’s recent policy campaigns, particularly on housing, workers’ rights, and social welfare, and her resignation leaves a notable gap in the shadow cabinet.
The Hove property purchase and the stamp duty oversight have dominated media coverage for several days, prompting widespread public debate about politicians’ compliance with tax rules and the standards expected of senior public figures.
It remains unclear who will succeed Ms Rayner in her shadow cabinet roles, with party sources indicating that an announcement could come “in the next few days” as Labour works to stabilise its leadership team.
Her decision comes amid a broader period of scrutiny for political figures over property and tax issues, reinforcing the intense pressure on senior politicians to maintain public trust.
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