
Angela Rayner has admitted to underpaying stamp duty on her second home, putting her position under threat.
The Deputy Prime Minister has referred herself to the prime minister’s ethics adviser after confirming she will have to pay more of the property tax.
This comes after she paid the incorrect amount on her £800,000 seaside flat in Hove, with experts suggesting she could owe up to an extra £40,000.
At Prime Minister’s Question Time, Conservative leader Kemi Badenoch called for Rayner to be sacked.
“Why is she still in office?,” asked the shadow leader of the opposition.
Reports noted that Rayner, who is also the housing secretary, could also face charges of hypocrisy as the government is expected to increase taxes on property owners in the upcoming autumn budget on 26 November.
Last year, Chancellor Rachel Reeves increased the stamp duty surcharge on second homes and investment properties from 3% to 5% with immediate effect.
Rayner released the details of her situation publicly today for the first time as a court order has previously prevented her from disclosing information about her personal life.
She applied to the court and was “released from this undertaking” last night.
After a divorce in 2023, Rayner and her ex-husband transferred their interest in the family home to a court-instructed trust of which her son would be the sole beneficiary.
In a statement, Rayner says: “Some of the interest in our family home was transferred to the trust in 2023. In January 2025, I sold the remaining interest in the property to my son’s trust.” And did so because it was in the “best interests of our child”.
The Deputy Prime Minister highlights that the sale of the family home to the trust has not “altered my family life” and “remains my family home, as it has been for over a decade”.
She continues: “After I sold my stake to the trust, I bought a property in Hove in May 2025. Like many people, I used the lump sum from selling my stake in my Ashton home, which was the only property I owned and where my savings were, for the deposit on my new one. I obtained a mortgage to finance the rest.”
“When purchasing the property my understanding, on advice from lawyers, was that my circumstances meant I was liable for the standard rate of stamp duty.”
“However, given the recent allegations in the press I have subsequently sought further advice from a leading tax counsel to review that position and to ensure I am fully compliant with all tax provisions.”
“I have now been advised that although I did not own any other property at the time of the purchase, the application of complex deeming provisions which relate to my son’s trust gives rise to additional stamp duty liabilities.”
“I acknowledge that due to my reliance on advice from lawyers which did not properly take account of these provisions, I did not pay the appropriate stamp duty at the time of the purchase. I am working with expert lawyers and with HMRC to resolve the matter and pay what is due.”
“The arrangements I have set out reflect the reality that family life is rarely straightforward, particularly when dealing with disability, divorce, and the complexities of ensuring your children’s long-term security. Every decision I have made has been guided by what I believe to be in my children’s best interests.”
“I deeply regret the error that has been made. I am committed to resolving this matter fully and providing the transparency that public service demands.”
“It is for that reason I have today referred myself to the independent adviser on ministerial standards, and will provide him with my fullest cooperation and access to all the information he requires.”