Overview
- An inquiry by Downing Street’s independent adviser, Sir Laurie Magnus, found Rayner breached the ministerial code by falsely designating a Hove property as her main residence, securing about £40,000 in tax savings.
- Rayner self-referred to the ethics adviser, expressed deep remorse, said she was poorly advised by lawyers, offered to repay the taxes, and resigned from the government and the party deputy leadership.
- Prime Minister Keir Starmer accepted her departure, calling it the right decision in a handwritten letter that also conveyed admiration and sadness.
- Starmer executed a rapid cabinet overhaul: David Lammy became deputy prime minister and justice secretary, Yvette Cooper moved to foreign secretary, Shabana Mahmood took over as home secretary, and Steve Reed was appointed housing minister, while Rachel Reeves and John Healey remained in their roles.
- The scandal followed reporting by outlets including the Daily Telegraph and has emboldened critics, with Nigel Farage telling a Reform UK conference that Labour is unfit to govern.