Deputy Prime Minster Angela Rayner has came under fire over avoiding paying stamp duty, but what is this charge and are you in danger of coming under scrutiny as the Labour politician.
Property transactions in England and Northern Ireland incur stamp duty land tax, a levy that increases in stages based on purchase price.
Buyers typically pay nothing on the first £125,000, then face escalating percentages on portions above that threshold. The system becomes particularly complex when purchasing additional properties.
Those acquiring a second home must pay an extra five per cent surcharge atop standard rates, though exceptions exist for those replacing their primary residence.
Ms Rayner has properties scattered across the country | PATax specialist Dan Neidle characterised stamp duty as "a confusing mess", highlighting inconsistencies where purchasers of two £500,000 properties face £55,000 in taxes whilst buyers of a single £1 million home pay just £43,000.
Trust arrangements add further complications, as property transferred into trusts can trigger unexpected tax liabilities despite the original owner no longer holding direct ownership.
The Housing Secretary confirmed she owed approximately £40,000 in additional taxes after receiving updated legal counsel that contradicted her initial advice.
"I'm devastated because I've always upheld the rules and always have done," Ms Rayner told Sky News. "I made a mistake based upon the advice that I relied upon that I received at the time."
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Some commentators have called for the misguided advice she claims to have been given to be made public in order for confidence to begin to be restored.
The controversy erupted further following reports that Rayner had removed her name from deeds of her Ashton-under-Lyne constituency home before purchasing the Hove flat, thereby avoiding higher second-home rates.
She has contacted HMRC to arrange payment of outstanding duties. Ms Rayner's property arrangements stem from a court-mandated trust established in 2020 following what she described as "a deeply personal and distressing incident" involving her son during infancy.
The child sustained permanent disabilities requiring specially adapted accommodation. Following her 2023 divorce, Rayner maintained a "nesting arrangement" where children remained in the family home.
She transferred ownership stakes in the Ashton-under-Lyne property to the trust, with her son as sole beneficiary. In January 2025, she sold her remaining interest to this trust.
When purchasing the Hove property in May, Ms Rayner believed she owned no other property, making her eligible for standard stamp duty rates.
However, tax counsel later advised that "complex deeming provisions" related to the trust created additional liabilities she hadn't anticipated.
Prime Minister Keir Starmer mounted a robust defence of his deputy during Wednesday's parliamentary session, declaring himself "very proud to sit alongside" Ms Rayner despite Conservative demands for her dismissal.
Angela Rayner reportedly saved £40,000 in stamp duty | PA"She's gone over and above in setting out the details, including yesterday afternoon asking a court to lift the confidentiality order in relation to her own son," Sir Starmer told MPs.
"I know from speaking at length with the Deputy PM, just how difficult that decision was for her and her family."
Conservative leader Kemi Badenoch pressed for Rayner's removal, stating: "If he had a backbone he would sack her." She reminded parliament of Starmer's previous stance that "tax evasion is a criminal offence, and should be treated as all other fraud".
Reform UK's Richard Tice branded Rayner "the biggest hypocrite in the land" given her past criticism of Conservative politicians' tax affairs.
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The stamp duty rate ranges from 5% to 12% of the purchase price, depending upon the value of the property bought, the purchase date and whether you are a multiple home owner.
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This latest scandal compounds Labour's mounting difficulties, with four ministers already forced to resign over misconduct since taking office. Both Starmer and Rayner previously faced criticism for accepting expensive clothing donations, a practice they subsequently abandoned.
The timing proves particularly damaging as Labour trails Nigel Farage's Reform UK in recent polling. A June YouGov survey projected Reform securing 271 parliamentary seats compared to Labour's 178, marking a dramatic reversal from Starmer's landslide victory merely a year ago.
Ms Rayner, often considered a potential successor to Starmer, connects powerfully with working-class voters through her unconventional background.
She left school pregnant at 16, worked in elderly care, then rose through union ranks before entering politics. Her political survival now depends on Sir Laurie Magnus's investigation into whether she breached ministerial standards.