Angela Rayner has been cleared of deliberate wrongdoing in her tax affairs, reigniting speculation over a possible Labour leadership bid as pressure mounts on Keir Starmer.
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Angela Rayner has been cleared of deliberate wrongdoing or carelessness over her tax affairs, a major development that could strengthen her chances of emerging as a future contender for Britain’s top political office.
The former deputy prime minister settled £40,000 in unpaid stamp duty linked to a property transaction but avoided any financial penalty, with authorities reportedly concluding there had been no tax avoidance.
The decision arrives at a critical moment for UK Prime Minister Keir Starmer, whose leadership is under mounting pressure after Labour’s disappointing election performance triggered internal unrest within the party.
In comments to The Guardian, Rayner admitted the lengthy investigation had left her “bruised” and politically weakened, saying it created the impression she was “in it for myself” instead of standing with ordinary working people.
The tax inquiry had overshadowed Rayner’s political career since she resigned from the cabinet last September. Now that the matter has been resolved, attention is shifting toward whether she could return to frontline politics — or even enter a future Labour leadership race.
Rayner hinted she may consider a leadership bid if a contest is triggered, saying she wanted to “play my part” in rebuilding the party. She also suggested Starmer should “reflect on” whether he remains the right person to lead Labour through the growing crisis.
Meanwhile, UK Health Secretary Wes Streeting is reportedly preparing a leadership challenge if enough Labour MPs support a contest, intensifying fears of a deepening split inside the governing party.
The internal turmoil has prompted Labour’s left wing to search for a candidate capable of countering Streeting’s growing influence, with Rayner and former Labour leader Ed Miliband both emerging as possible names in the race.
Rayner stressed that any future contest should focus on uniting the party and restoring voter confidence rather than personal ambition.
“I want to see actions, not just words,” she said, while ruling out launching a direct coup against Starmer herself.
The senior Labour figure also defended her handling of the tax issue, saying she had followed professional legal advice in what she described as a highly complex area of tax law. She revealed that two leading tax lawyers had reached different conclusions about her case.
Although she accepted the ruling and paid the additional tax, Rayner said the investigation had “clipped my wings” politically and emotionally, particularly because of intense scrutiny involving her disabled son and accusations she strongly denied.
With Labour facing growing divisions and Starmer’s authority increasingly questioned, Rayner’s political future is once again becoming a central topic in Britain’s rapidly evolving leadership battle.
