Rayner Cleared by HMRC Over Tax as Starmer Future Uncertain
Rayner Cleared by HMRC Over Tax as Starmer Future Uncertain

Angela Rayner has stated that she has been cleared of deliberate wrongdoing in an investigation into her tax affairs, potentially clearing the way for a leadership bid amid uncertainty over Sir Keir Starmer's future. The former deputy prime minister indicated she could run in any contest but insisted she would not 'trigger' a race.

Leadership Uncertainty

As Health Secretary Wes Streeting contemplates challenging the Prime Minister, Sir Keir's former deputy suggested she might enter any leadership race, though she emphasised she would not initiate a contest. Meanwhile, Chancellor Rachel Reeves cautioned colleagues against jeopardising the economy after figures revealed GDP growth in the first quarter of the year.

Rayner's Position

Ms Rayner, the MP for Ashton-under-Lyne, also denied any deal with Greater Manchester Mayor Andy Burnham, whose return to Westminster would require winning a by-election. When asked about entering a contest, she told the Guardian: 'I'll play my part in doing everything we possibly can to deliver the change, because it's not a personal ambition, I know the difference it makes.' She suggested Sir Keir should 'reflect on' whether to step aside following disappointing local election results that have intensified speculation about his future, with Labour openly divided on the way forward.

Wide Pickt banner — collaborative shopping lists app for Telegram, phone mockup with grocery list

Streeting's Potential Challenge

Ms Rayner stated that the Health Secretary, believed to have told allies he is preparing to resign on Thursday to pursue the top job, would need to 'justify his actions'. She acknowledged her colleagues' anger and upset, saying: 'I do understand my colleagues and why they're angry and upset. I do understand why we're having this conversation now, but we need to get through that as quickly as possible.'

Chancellor's Warning

The Chancellor, who has avoided public comment on the turmoil, said Labour MPs face an 'important decision to make' in an intervention outside Downing Street on Thursday. Addressing reporters after figures showed the UK economy grew by 0.6% in the first quarter, Ms Reeves said: 'Labour MPs have got an important decision to make today, but the numbers show that the economy is growing and that when we entered this (Middle East) conflict, our economy was growing strongly because of the decisions that I have made as chancellor. We shouldn't put that at risk.' She told the BBC that 'plunging the country into chaos at a time when there is conflict in the world, but also at a time when our plan to grow the economy is starting to bear fruit' would be a mistake.

Support for Starmer

Efforts to remove Sir Keir from Downing Street appeared to stall on Wednesday, with no further ministerial resignations or backbench calls for his resignation as Westminster focused on the King's Speech. Labour's trade union backers had withdrawn support for Sir Keir that morning, while Mr Streeting's team did not deny claims he was poised to quit. If he mounts a challenge, Mr Streeting needs the backing of 81 Labour MPs to begin a formal contest. While some 87 MPs have publicly called for Sir Keir's resignation, they are not united behind a single candidate.

Other Potential Challengers

Other figures regarded as potential challengers include Energy Secretary and former party leader Ed Miliband, and armed forces minister Al Carns. In an article for The New Statesman, Mr Carns wrote: 'We do not need more slogans, strategies, press releases or commissions. We need action.' Deputy Prime Minister David Lammy has questioned whether any rival can muster the necessary support to launch a contest. Sir Keir is expected to fight any leadership challenge and spent Wednesday afternoon meeting ministers and Labour MPs to avert a coup.

Pickt after-article banner — collaborative shopping lists app with family illustration

Government Agenda

On Thursday, Sir Keir will seek to regain control of the political agenda by introducing legislation overhauling social housing and the 'right to buy'. Ahead of the Social Housing Renewal Bill, intended to boost the supply of council homes, he said his Government was 'taking responsibility, rebuilding social housing, and delivering the change people voted for'. Meanwhile, the prospect of a return to Parliament for Greater Manchester Mayor Andy Burnham receded as more MPs declared they did not intend to give up their seats. Manchester MPs Afzal Khan and Jeff Smith had been rumoured to be willing to make way for Mr Burnham, but both expressly denied to the Press Association that they were preparing to stand down.