Starmer has confidence in Angela Rayner amid row over flat

The Prime Minister has confidence in Angela Rayner, No 10 has said, as criticism continues over her purchase of an £800,000 flat in Hove.

The Deputy Prime Minister represents a constituency in Greater Manchester and has a grace and favour flat in Westminster.

The Tories have called for her to face an ethics inquiry over the tax affairs relating to the Hove purchase.

Asked if Sir Keir had confidence in his deputy, the Prime Minister’s official spokesman said: “Yes, the Prime Minister works closely with the Deputy Prime Minister … on delivering on the public’s priorities.”

He noted that a court order is stopping Ms Rayner from providing detail on the purchase.

“There is a court order which restricts her from providing further information, which she’s urgently working on rectifying in the interests of public transparency,” he said.

Defence

Her Cabinet colleague Bridget Phillipson came to her defence at the weekend, saying she had followed the rules and that it was up to Ms Rayner how she spent her money.

“She’s an adult, if she wants to buy a flat she can buy a flat. That’s just the top and bottom of it.

“So long as she’s followed all of the rules and requirements as a part of that, then I don’t think there’s anything more,” the Education Secretary told Times Radio.

Ms Rayner, who is also the Housing Secretary, is reported to have saved £40,000 in stamp duty on the flat because she removed her name from the deeds of a family property in her Ashton-under-Lyne constituency, meaning the Hove property is the only property she owns.

However, Ms Rayner also previously indicated the Greater Manchester home remains her primary residence, according to the Telegraph, saving some £2,000 in council tax on her grace and favour home in central London at Admiralty House.

The Mail On Sunday reported she split the ownership of her £650,000 constituency home with a trust administered by law firm Shoosmiths.

The newspaper suggested the legal manoeuvre would be consistent with Ms Rayner placing some of the house’s equity in trust for her three children, but the Tories questioned whether the move was intended to avoid potential inheritance tax liabilities.

Allies

Allies of Ms Rayner rejected the suggestion the move had anything to do with inheritance tax.

Ms Rayner divorced her husband and no longer owns a stake in the Greater Manchester home but still considers it her primary residence because her children live there.

The Tories have called for the Prime Minister’s ethics adviser, Sir Laurie Magnus, to examine whether she has breached the ministerial code.

Tory Party chairman Kevin Hollinrake said Ms Rayner should “come clean on the litany of accusations of tax avoidance, be it stamp duty, council tax or inheritance tax”.

He had originally called for Sir Laurie to investigate after it was reported Ms Rayner paid £30,000 instead of £70,000 on the Hove property because it was the only one she owned, but then said the independent adviser on ministerial standards should also look at the Ashton-under-Lyne trust.

Tory leader Kemi Badenoch said: “I think people would appreciate clarity from Angela Rayner.

“I don’t know the details of the house purchases, but the reason why people are asking, as they have been in my constituency, is that they’re worried about hypocrisy.

“We are facing property taxes coming in with the budget, so people start suspecting or worrying that she’s making decisions because she knows what’s coming up.

“That’s why, for her own sake and for her own personal integrity, she should make clear what she’s doing, but more importantly, tell us what’s coming in the budget when it comes to taxes, especially property.”