UK Deputy PM Angela Rayner Resigns Over Underpaid Property Tax

Deputy Prime Minister Angela Rayner exits a vehicle in Downing Street in London, Britain, March 26, 2025.

British Deputy Prime Minister Angela Rayner resigned on Friday, citing deep regret over underpaying property tax on a new home. Her departure is a significant setback for Prime Minister Keir Starmer.

An independent adviser found that Rayner breached the ministerial code by failing to pay the correct tax, leaving Starmer with little choice but to accept her resignation. He described her as a “trusted colleague and a true friend” and said he was “very sad” to lose her from government.

Rayner, 45, is the eighth and most senior minister to leave Starmer’s team, marking the most ministerial resignations at the start of a premiership in almost 50 years—exceeding even those under Boris Johnson outside of reshuffles.

“I deeply regret my decision to not seek additional specialist tax advice… I take full responsibility for this error,” Rayner wrote in her resignation letter. “Given the findings and the impact on my family, I have decided to resign.” She also stepped down as a minister and deputy leader of the Labour Party.

In his response, Starmer expressed support, saying he understood her decision was “very painful” but believed it was the right course. He added that, despite leaving government, she would remain a major figure in the party.

The adviser on ministerial standards stated that Rayner had broken the code by failing to follow legal advice to seek expert guidance on her complex financial situation. “It is with deep regret that I must advise you that, in these circumstances, the Code has been breached,” he said.

Rayner had referred herself to the adviser after admitting the error, which involved setting up a trust for one of her sons with lifelong disabilities. She sold her share of a family home in northern England to fund an apartment in Hove, under the belief that higher rates of tax for second homes would not apply. After further legal review, she acknowledged the mistake and arranged to pay the additional tax.

Her resignation comes at a sensitive time for Starmer, with Labour facing political pressure and internal party challenges. Rayner had been a unifying figure within the party, able to bridge divides between left and centrist members while maintaining broad public appeal.