Tax error forces Angela Rayner to quit as UK Deputy PM

Rayner’s Exit Creates Leadership Crisis for Labour Party Ahead of Key Budget Decisions

UK – (Special Correspondent / Web Desk) -British Deputy Prime Minister Angela Rayner resigned on Friday after admitting she underpaid property tax on a new home. This marks another setback for Prime Minister Keir Starmer, who had initially backed her when the allegations first appeared.

Rayner, 45, becomes the eighth and most senior minister to leave Starmer’s team. Her exit is a major blow, especially after Starmer showed full support earlier.

In her resignation letter, Rayner said, “I deeply regret not seeking extra tax advice. I take full responsibility for this mistake.”

Starmer responded that he was deeply saddened by her decision but agreed it was the right choice.

Labour is already struggling in polls, trailing behind Reform UK. Starmer now faces an uphill battle to restore trust and strengthen his leadership image. Critics have accused the party of hypocrisy over accepting expensive gifts like designer clothes and concert tickets.

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Losing Rayner is a huge loss. She was popular for uniting Labour’s left and centrist members, and many saw her as a possible future leader. Her background as a working-class single mother made her widely admired across Britain.

Rayner admitted her tax mistake after seeking more legal advice. She had sold her share of a family home to a trust set up for her disabled son. She believed she didn’t owe extra tax when buying an apartment in Hove but later learned she needed to pay a higher rate and is now settling the amount.

Starmer’s government has now faced eight resignations, five linked to wrongdoing. This makes his administration the most affected by ministerial exits early in office since 1979—more than even Boris Johnson, who faced scandals over lockdown-breaking parties.

This resignation leaves Starmer weakened as he prepares for a challenging end to the year. His government must soon deliver a budget that could include tax hikes and deal with the growing influence of Nigel Farage’s Reform Party.

Starmer hoped his recent reshuffle would boost his team after the summer break. Instead, the Rayner controversy and Farage’s criticism have overshadowed those plans, adding pressure to an already difficult situation.

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