Bridget Phillipson has supported her colleague Angela Rayner following claims the deputy prime minister minimized tax obligations when purchasing a seaside property in East Sussex.
The education secretary stated that Rayner was entitled to acquire the £800,000 flat in Hove “as long as she complied with all regulations,” after reports indicated she saved £40,000 in stamp duty by declaring it as her sole property.
Critics have questioned Rayner, who also serves as housing secretary, over inconsistencies in her residency declarations. She designated her Greater Manchester home as her main residence, enabling her to avoid £2,000 in council tax for her government-provided London flat.
Phillipson told Times Radio: “Angela Rayner has confirmed she adhered to all necessary rules and obligations. That remains her position—that she met every requirement.”
When asked if Rayner’s purchase was contradictory, Phillipson responded: “Any individual, whether Angela Rayner or anyone else, has the right to spend their income as they see fit. As a working adult, she can make decisions about her finances.”
She added, “As long as she followed all legal obligations, there should be no further issue.”
Rayner faced scrutiny after buying the flat shortly after removing her name from the deed of her constituency home in Ashton-under-Lyne.
By not being listed as a co-owner of the Greater Manchester property, she qualified for a lower stamp duty rate, which applies to primary residences rather than second homes.
Reports suggest she sold her share in the Ashton house to fund the Hove purchase.
Additionally, designating the constituency property as her primary residence allowed her to avoid council tax for her government-assigned London apartment.
Over the weekend, reports indicated Rayner had divided ownership of the Ashton home with a legal trust managed by Shoosmiths in 2023.
Rayner’s office did not comment.
The controversy has gained attention ahead of the budget, with suggestions that higher property taxes may be introduced to address a potential shortfall in public spending.
The chancellor, Rachel Reeves, is reportedly considering measures including an annual property tax to replace stamp duty entirely.
On Monday, Conservative leader Kemi Badenoch is expected to address these reports during a visit to Reigate in Surrey alongside shadow housing secretary James Cleverly.
Badenoch said: “Labour appears poised to impose further taxes on homeowners, despite similar actions by their own ministers raising concerns.”
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