Deputy Labour Leader Angela Rayner is facing a formal police review into her tax affairs, plunging Sir Keir Starmer's top team into a fresh controversy. The probe centres on allegations surrounding the sale of her former council house and whether she correctly declared her main residence for tax purposes.
Greater Manchester Police confirmed it is "reexamining" information after a formal complaint was made by Conservative MP James Daly. The allegations suggest Ms Rayner may have breached capital gains tax rules and provided false information about her living situation over a decade ago.
The Core of the Controversy
The row erupted over claims that Ms Rayner bought her ex-council house in Vicarage Road, Stockport, with a 25% discount in 2007 under the Right to Buy scheme. She then sold the property in 2015 for a £48,500 profit. Critics allege she should have paid capital gains tax on this profit if it was not her principal residence.
Questions have been raised about whether she was actually living at the property, with claims that her main residence was elsewhere with her husband and children. The timing is particularly sensitive as it coincides with the period she first became an MP.
Political Fallout and Responses
The Labour Party has staunchly defended its deputy leader, stating she has followed the rules at all times. A spokesperson emphasised that "the police have already looked into this matter and found no reason to investigate further."
However, the Conservative Party has seized on the development, with Mr Daly stating he provided "fresh evidence" to officers. The timing could prove awkward for Labour, which has sought to position itself as the party of fiscal responsibility ahead of the next general election.
Ms Rayner has previously called for higher taxes on second homes and criticised "dodgy landlords," making the allegations particularly damaging to her political brand. She has not yet made a public statement since the police review was announced.
What Happens Next?
Greater Manchester Police will now assess whether a full criminal investigation is warranted. The force stated: "We are reexamining the circumstances presented to us... We are in the process of reexamining that information to determine whether any further investigation or action is required."
The outcome could have significant implications not only for Ms Rayner's political future but also for Labour's election campaign strategy, which has positioned her as a key attack dog against government scandals.
