Angela Rayner admits stamp duty error on £800 000 Hove flat, refers herself to ethics adviser. Image Professional Adviser.
(The Post News)– Deputy Prime Minister Angela Rayner has admitted to underpaying stamp duty on her £800,000 Hove flat. The frontbench Labour MP has self-referred to the prime minister’s ethical adviser after mounting criticism over the way she pays for herself personally and how transparently her department is managed.
Rayner, who is also the Housing Secretary, claimed she paid the regular amount of stamp duty when she purchased the flat by the sea in May 2025. But new advice by lawyers confirmed that she had to pay the larger amount by reason of trust operation for the family home she owns with the family in Ashton-under-Lyne.
Tax experts estimated the potential additional charge at up to £40,000. Rayner says she is working with HMRC to determine the correct amount due and paying the money due. “I honestly regret the error that has been made,” said Rayner. “I am committed to correcting this issue in full and providing full clarification.”
Complex Trust Arrangement
The issue arises out of the trust Rayner established in 2020 to support one of her sons, who has lifelong disabilities after he was born traumatically. After divorcing, Rayner transferred ownership interest in the Ashton-under-Lyne family home to the trust.
Despite the fact that Rayner no longer has an ownership interest in the property, the argument goes that with the property owned by the trust for the benefit of the kids, the property in Hove for the purposes of these complex deeming provisions must, by law, belong to Rayner. This would make the Hove flat, when she purchased the flat by the sea, the second property, bringing the properties for the larger sum discharge.
Rayner has said that she previously received advice on this assumption, but following media reports during the course of the week, the deputy prime minister has received new advice from a top tax barrister who has confirmed the larger sum discharge was owed.
“While I owned no other property at the date of the purchase, the operation by the complex deeming provisions triggers additional stamp duty liabilities,” said Rayner.
Keir Starmer Offers Support, but Pressure Mounts
Prime Minister Sir Keir Starmer publicly came to the defense of his deputy with praise for the self-reference to the prime minister’s ethical adviser. In the Commons, he said the deputy prime minister had gone “over and above” by clarifying her private arrangements, including going so far as to have one in the past confidentiality order put by the court in operation for the son’s medicine record removed.
“She did it to ensure all the information is in the public domain,” Starmer said. “I’m proud to sit alongside her.”
However, when asked whether Rayner has his backing to remain in post for the remainder of the Parliament, Starmer’s spokesperson declined to commit. “You have the Prime Minister’s words in the House,” the spokesperson said, adding that Starmer retains “full confidence” in Rayner.
Opposition figures were quick to pounce. Conservative minister Kemi Badenoch accused Starmer of weakness, saying, “If he had a backbone, he would sack her.”
Vandalism Outside Rayner’s Hove Flat
Tensions around the controversy escalated when graffiti was found near Rayner’s Hove apartment, including one message calling her a “tax evader.” Rayner’s team condemned the vandalism, saying it was an unjustifiable attack on her and her neighbors. “This vandalism to residents’ homes is totally unjustifiable and beyond the pale,” her spokesperson said. “It’s now a matter for the police.”
Downing Street also denounced the incident, with a spokesperson for Starmer stating, “Whatever scrutiny our parliamentarians may face, it is appalling that their private homes should be targeted in this way.” The incident has cast a shadow over Labour’s messaging on fairness and integrity, particularly as the government prepares to raise property taxes in the autumn budget. With Labour trailing Reform UK in some polls, Rayner’s stamp duty error could undermine efforts to convince voters that the party represents working people.
Rayner maintains that her actions were always guided by what she believed was in the best interest of her children. “Family life is rarely straightforward,” she said. “Especially when dealing with disability, divorce, and trying to ensure long-term security for your children.” She concluded, “I am fully cooperating with the Independent Adviser on Ministerial Standards and will provide him with access to all the information he requires.”
Sir Laurie Magnus, the prime minister’s independent adviser, will now investigate whether Rayner’s conduct breached the ministerial code. The outcome of that investigation could determine her future in the cabinet and Labour’s credibility ahead of a general election.
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