UK deputy PM Angela Rayner admits tax error

Britain's Deputy Prime Minister Angela Rayner delivers a speech on devolution in Leeds, Britain on December 16, 2024. (Photograph: Phil Noble/ REUTERS / Pool)
Britain’s Deputy Prime Minister Angela Rayner on Wednesday admitted to underpaying property tax on a flat purchase, after days of mounting scrutiny over her financial affairs.

The 45-year-old Labour politician said she had referred herself to the government’s ethics adviser and reported the issue to tax authorities, attributing the mistake to “inaccurate” legal advice.

Speaking on a Sky News podcast, Rayner revealed that the discovery was serious enough for her to consider resigning, prompting emotional conversations with her family.

“I’ve been in shock, really, because I thought I’d done everything properly,” she said. “I relied on the advice that I received, and I’m devastated because I’ve always upheld the rules — and I’ve always felt proud to do that.”

Rayner, who also serves as Minister for Housing, has come under pressure after it emerged that she may have saved up to £40,000 in stamp duty on the purchase of a flat in Hove, southern England.

According to reports, Rayner removed her name from the deeds of another property in her Greater Manchester constituency — thereby making the new Hove flat her sole home at the time of purchase, which qualified her for a lower tax rate.

However, Rayner said the legal advice she received did not fully account for her personal financial circumstances, including the existence of a trust fund set up for her disabled son.

“As a result, I did not pay the appropriate stamp duty at the time of the purchase,” she said.

Rayner has long been a lightning rod for criticism from Britain’s right-wing media and political opponents, and the revelation has fueled further attacks from Conservative MPs. Nevertheless, Prime Minister Keir Starmer stood firmly by her during a session in Parliament on Wednesday.

“She has explained her personal circumstances in detail. She’s gone over and above in setting out the facts,” Starmer told the House of Commons. “I’m proud to sit alongside her… I know how difficult that decision was for her and her family, but she made it to ensure everything is in the public domain.”

Rayner’s personal journey — from leaving school at 16 with no qualifications after becoming a teenage mother, to becoming one of Labour’s most prominent figures — has made her a symbol of grit and working-class representation within the party. She is frequently mentioned as a potential future party leader.

AFP