Keir Starmer backs Angela Rayner in council house row – but admits he hasn’t seen her tax advice

Angela Rayner with Sir Keir Starmer during the Labour Party local elections campaign launch in Dudley
Angela Rayner with Sir Keir Starmer during the Labour Party local elections campaign launch in Dudley - JORDAN PETTITT/PA

Sir Keir Starmer has publicly backed Angela Rayner’s decision not to publish the tax advice on her council house sale despite not seeing the advice himself.

Launching Labour’s local election campaign in the West Midlands, Sir Keir told reporters he had “full support” and “full confidence” in his deputy when asked about police reassessing their decision not to investigate allegations she gave false information on official documents.

The Telegraph understands that Ms Rayner has handed over the tax advice she received to Labour and that senior officials in the party have gone through it line by line.

Sir Keir has been briefed in detail on its contents but has not read the document himself, with allies saying he does not feel the need because he trusts his deputy.

In an interview on Monday morning, the MP insisted she had done “absolutely nothing wrong” but declined to put legal advice she had received over the affair in the public domain because it was “personal”.

In a firm show of support on Thursday Sir Keir said: “Angela has been very clear. I think she has been doing media this morning. She has made it very clear that if anybody wants more information from her, any of the authorities, she is more than happy to provide it.

“But should she publish legal tax advice? No, she shouldn’t. Where does this end? Are you going to be calling for Tory ministers to publish all their legal and tax advice going back over the last 15 years? That is where this ends.”

Asked if his deputy should resign if found to have done wrong, Sir Keir said: “Angela has answered I don’t know how many questions about this. She has not broken any rules, she has in fact taken legal and tax advice which has satisfied her, and us, and me about the position.”

Angela Rayner bought a house in Stockport in 2007 and sold it in 2015
Angela Rayner bought a house in Stockport in 2007 and sold it in 2015 - Ryan Jenkinson/Story Picture Agency

Earlier Angela Rayner refused to reveal tax advice she received over the sale of her former council house as police reassess claims she broke electoral law.

She said she would provide the information if it is requested by the police or HMRC, but “I’m not going to put out all of my personal details for the last 15 years about my family”.

Greater Manchester Police (GMP) is examining the case again after the Conservatives complained allegations had not properly been investigated.

James Daly, the Tory deputy chairman, wrote to the force to accuse them of failing to carry out a full inquiry into whether the MP broke the law a decade ago.

Police said this week that a detective chief inspector had been assigned to reconsider the case.

Angela Rayner during a meeting with Labour Party mayors and mayoral candidates in Birmingham
Angela Rayner during a meeting with Labour Party mayors and mayoral candidates in Birmingham - JAMES MANNING/PA

The issue revolves around the amount of tax Ms Rayner should have paid when she sold her home in Stockport, Greater Manchester, in 2015.

The principal question is whether she should have been liable for capital gains tax based on her primary residence at the time.

In an interview with BBC Radio 4’s Today programme on Thursday morning, Ms Rayner said: “I am confident that I’ve done absolutely nothing wrong. I’ve been very clear on my advice that I’ve received.”

Asked why she would not put that legal advice into the public domain, she said: “Because that’s my personal tax advice. But I’m happy to comply with the necessary authorities that want to see that.

“But I don’t think we are going down the road of MPs, whenever somebody says, ‘Well what is happening with your capital gains tax’, we want to see all the information and detail.

“If we are, I am happy. If we are all going to have a level playing field… you show me yours and I’ll show you mine.”

Ms Rayner canvassing on the streets of Birmingham on Wednesday
Ms Rayner canvassing on the streets of Birmingham on Wednesday - James Manning

Earlier this month, GMP said Ms Rayner would not face an investigation.

But Mr Daly complained that officers had not contacted witnesses or looked at relevant documents.

On Monday, the police replied, saying they would reconsider their decision. Cheryl Hughes, a detective chief inspector at GMP, said: “I have read your letter outlining your concern over the lack of investigation into the matters you raised in your initial complaints to GMP on Feb 25 regarding Angela Rayner MP.

“Following receipt of your recent letter dated March 13 2024, I have been requested to review the circumstances you have outlined to reassess our decision around an investigation. I will update with the outcome.”

Ms Hughes said the force that carried out the original “investigative review” had looked at the “relevant legislation pertaining to the allegations”.

‘Respect the process’

Lisa Nandy, the Labour frontbencher, said the party would “respect the process”.

“The police originally closed the investigation. I understand they’ve reopened it because a Conservative MP has asked them to do so,” she told Times Radio.

“That is of course their right. We respect the process.

“And you know, as we always have when these sorts of allegations are made, we comply with the processes.”

Ms Rayner registered the Stockport house, which she bought under the Right to Buy scheme in 2007, as her main address on the electoral roll.

As a result, when she sold the property in 2015 – making a profit of £48,000 – she was not liable to pay capital gains tax on that money.

But weeks after marrying Mark Rayner in 2010, she had re-registered the births of her two youngest children at his address just over a mile away.

That raised questions over whether she moved in with her now estranged husband but did not update her address on the electoral register

Only count one property

HMRC rules state that married couples or civil partners can only count one property as their primary residence.

Last week, Ms Rayner said the row was “manufactured” in an attempt to “smear” her. She told BBC Newsnight there had been “no wrongdoing” and “no unlawfulness”, adding: “I’ve been very clear there’s no rules broken.

A spokesman for GMP said: “We have received a complaint regarding our decision not to investigate an allegation and are in the process of reassessing this decision. The complainant will be updated with the outcome of the reassessment in due course.”

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