Angela Rayner has admitted she did not pay the right amount of stamp duty on the purchase of her second home and has referred herself to the independent adviser on ministerial standards.
Speaking to Sky News’ political editor Beth Rigby on the Electoral Dysfunction podcast, the deputy prime minister became tearful as she claimed she received incorrect tax advice and spoke to her family about “packing it all in”.
Ms Rayner, who is also the housing secretary, has been under scrutiny after a report in The Daily Telegraph claimed she avoided £40,000 in stamp duty on a flat in Hove by removing her name from the deeds of another property in Greater Manchester.
In a lengthy statement released today, she said it was a “complex living arrangement” as her first home was sold to a trust following her divorce to provide stability for her teenage son, who has lifelong disabilities and is the sole beneficiary of the trust.
She said initial legal advice was that the standard rate of stamp duty applied but following media reports she sought expert counsel who said more tax is due.
She added that these matters were confidential but she applied to a court yesterday to get this lifted in the interests of public transparency.
In a subsequent interview with Beth Rigby, a visibly upset Ms Rayner said: “I’ve been in shock, really, because I thought I’d done everything properly, and I relied on the advice that I received and I’m devastated because I’ve always upheld the rules and always have felt proud to do that.
“That it is devastating for me and the fact that the reason why those confidential clauses were in place was to protect my son, who, through no fault of his own, he’s vulnerable, he’s got this life changing, lifelong conditions and I don’t want him or anything to do with his day-to-day life, to be subjected to that level of scrutiny.”
Asked if she thought about quitting rather than disclose the details about her son, the cabinet minister added: “I spoke to my family about it. I spoke to my ex-husband, who has been an incredibly supportive person because he knows that all I’ve done is try and support my family and help them.”
In her statement, Ms Rayner said she “deeply regrets” her error and is “committed to resolving this matter fully and providing the transparency that public service demands”.
She said she will pay what is due, adding: “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.”
Watch and listen to the full Electoral Dysfunction interview on Wednesday afternoon – www.podfollow.com/electoraldysfunction
