It has emerged that Angela Rayner has had specialist tax advice covered by the Labour Party.
The party commissioned leading barrister Jonathan Peacock KC to review Rayner's tax position, focusing primarily on whether she had underpaid stamp duty on her £700,000–£800,000 flat purchase in Hove, East Sussex. This advice also covered related matters such as council tax, capital gains tax, and inheritance tax implications.
Peacock reportedly spent up to five days on the task, delivering draft advice on 1 September 2025 and final advice the following day. Rayner had requested the legal input from the party, and senior Labour officials arranged for Peacock's involvement. The bill was paid by party headquarters — a decision that has drawn sharp criticism from some within Labour itself, who have described it as a "shameful use of party resources" amid the party's post-election financial pressures, including a reported £3.8 million deficit.
The exact cost remains undisclosed, but tax and legal experts estimate it could run into tens of thousands of pounds.
No declaration appears in the parliamentary Register of Members’ Financial Interests for this benefit. As of early 2026, searches of the register (available via parliament.uk and monitoring sites) show no entry under relevant categories like gifts, benefits, donations, or miscellaneous support from the Labour Party.
There are also no public indications that Rayner has reported the value of this advice as a benefit in kind to HMRC. Under UK tax rules (Income Tax (Earnings and Pensions) Act 2003), payments by an employer or equivalent body (here, the party in relation to her deputy leadership role) for personal legal advice are generally taxable unless tied directly to work duties.
Since this concerned her private property and family trust arrangements — unrelated to parliamentary or official responsibilities — analysts argue it would likely be treated as a taxable benefit, potentially leaving Rayner liable for income tax (and possibly National Insurance) on its value.
This revelation comes against the backdrop of Rayner's earlier stamp duty controversy. She admitted underpaying around £40,000 in higher-rate stamp duty on the Hove flat (treated as a second home due to trust arrangements for her children), self-referred to the prime minister's ethics adviser, and cooperated with HMRC. The ministerial standards probe found she breached the code, contributing to her resignation as deputy prime minister, housing secretary, and deputy Labour leader.
While the original tax underpayment was settled (with potential penalties), this party-funded advice has raised fresh questions about transparency, declarations, and possible additional tax liabilities.
Doubtless HMRC will now be aware of this, even if she hasn't yet declared it.
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