Angela Rayner has resigned as the UK's Deputy Prime Minister and Housing Secretary on Friday, following an independent ethics investigation that concluded she breached the Ministerial Code by failing to pay the correct amount of stamp duty on her £800,000 ($1,080,640) apartment in Hove, East Sussex.
The resignation comes after Rayner admitted on Wednesday, that she underpaid by £40,000 ($54,032) due to complex family arrangements involving a trust for her son with special educational needs, which meant the property was considered her second home. She referred herself to the Prime Minister's independent adviser on ministerial standards, Sir Laurie Magnus, who found she failed to seek specific tax advice, a requirement that would have revealed the higher tax liability.
Rayner admitted she did not pay the correct stamp duty on her Hove flat, which she purchased in May 2025, and claimed it's because initial legal advice did not properly account for the trust arrangements for her son. She referred herself to Sir Magnus for an investigation after media scrutiny.
Sir Magnus concluded that Rayner's failure to seek specific tax advice constituted a breach of the Ministerial Code, particularly given her role as Housing Secretary He described her failure as "unfortunate" and "deeply regrettable."
In her resignation letter to Prime Minister Keir Starmer, Rayner stated she took full responsibility and cited the significant toll the media scrutiny was taking on her family as a key reason for stepping down. She also resigned from her elected role as Deputy Leader of the Labor Party, which will trigger a new party election.
Rayner may face a fine of up to £12,000 ($16,209) from HMRC for a "careless" error in her tax arrangements.
The resignation is a major blow to Prime Minister Starmer, who expressed sadness and admiration for Rayner in a handwritten note, calling her a "trusted colleague and a true friend."
Starmer has initiated a cabinet reshuffle, with David Lammy moving to replace Rayner as Deputy Prime Minister and Justice Secretary, while Steve Reed becomes the new Housing Secretary.
Rayner, a former teenage mother from Stockport was seen as a vital far-left 'working class' figure in Starmer's left-wing leadership, especially against the rising appeal of populist Nigel Farage's Reform Party. Her departure is expected to intensify internal Labor party tensions and could lead to a far-left deputy leader being elected.
The opposition, particularly Conservative leader Kemi Badenoch, criticized Starmer's leadership, calling Rayner's position "untenable" and questioning what he knew and when.
