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Rayner Ordered to Repay £17K After Cabinet Return

Deputy Prime Minister Angela Rayner has been ordered to return a £16,876 severance payment after being reinstated as Housing Secretary less than a year after resigning over a tax scandal.

Dimitris Papafotis
Dimitris Papafotis Editor in Chief
JULY 22, 2026 AT 11:56 AM

Angela Rayner, the Labour MP for Ashton-under-Lyne, received the substantial exit payment when she departed the Cabinet last September amid revelations about her personal tax affairs, according to George Bunn writing in GB News. Prime Minister Andy Burnham reinstated her to the identical Cabinet position she previously held during this week’s reshuffle, triggering immediate calls for the money to be repaid.

Shadow Housing Secretary James Cleverly spearheaded Conservative criticism of the appointment, demanding Rayner hand back the taxpayer-funded windfall. The former home secretary accused her of double standards, stating that she had collected seventeen thousand pounds from public coffers only to be rewarded with her former job by Burnham, who simultaneously plans to increase property taxes on ordinary families.

Cleverly further charged that the reappointment confirms Labour operates under different rules than those applied to everyone else in Britain.

Tax Scandal Forced September Resignation

Rayner was compelled to resign from her dual roles as deputy prime minister and housing secretary in September following a Telegraph investigation which exposed that she had underpaid stamp duty by £40,000 on an £800,000 property she owned in Hove, East Sussex.

The tax shortfall scandal forced her departure from Labour’s frontbench under a cloud of controversy. She did not settle the outstanding debt with HMRC until May of this year, eight months after leaving office.

Now, barely ten months since her disgraceful exit, Rayner has been handed back control of the exact government department responsible for housing policy across Britain.

Questions Over HMRC Investigation

Rayner has insisted that HMRC’s investigation concluded there was no evidence of deliberate wrongdoing or carelessness on her part, claiming she had always acted in good faith throughout the matter.

Critics have dismissed these assurances, pointing out that the tax authority’s findings hold little credibility when the minister who failed to pay correct taxes is returned to a senior Cabinet position overseeing housing and taxation matters.

The controversy highlights growing concern over accountability standards within the Burnham government, particularly regarding ministers who leave office under ethical clouds only to be rapidly rehabilitated without consequence.

The £16,876 severance payment was intended to assist former ministers transitioning out of government service. Parliamentary rules typically require such payments to be returned if the recipient rejoins the Cabinet within a specified period, though enforcement remains inconsistent.

With information from GB News

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Dimitris Papafotis
Dimitris Papafotis

Dimitris Papafotis is the editor-in-chief of NewsFire.GR. He was born and raised in Athens. He studied at the Journalism Workshop (1991-1993). He currently lives in Pyrgos, Ilia, where he has been active in radio and various newspapers, while also maintaining his personal blog, Papafotis.gr.

Angela Rayner, the Labour MP for Ashton-under-Lyne, received the substantial exit payment when she departed the Cabinet last September amid revelations about her personal tax affairs, according to George Bunn writing in GB News. Prime Minister Andy Burnham reinstated her to the identical Cabinet position she previously held during this week’s reshuffle, triggering immediate calls for the money to be repaid.

Shadow Housing Secretary James Cleverly spearheaded Conservative criticism of the appointment, demanding Rayner hand back the taxpayer-funded windfall. The former home secretary accused her of double standards, stating that she had collected seventeen thousand pounds from public coffers only to be rewarded with her former job by Burnham, who simultaneously plans to increase property taxes on ordinary families.

Cleverly further charged that the reappointment confirms Labour operates under different rules than those applied to everyone else in Britain.

Tax Scandal Forced September Resignation

Rayner was compelled to resign from her dual roles as deputy prime minister and housing secretary in September following a Telegraph investigation which exposed that she had underpaid stamp duty by £40,000 on an £800,000 property she owned in Hove, East Sussex.

The tax shortfall scandal forced her departure from Labour’s frontbench under a cloud of controversy. She did not settle the outstanding debt with HMRC until May of this year, eight months after leaving office.

Now, barely ten months since her disgraceful exit, Rayner has been handed back control of the exact government department responsible for housing policy across Britain.

Questions Over HMRC Investigation

Rayner has insisted that HMRC’s investigation concluded there was no evidence of deliberate wrongdoing or carelessness on her part, claiming she had always acted in good faith throughout the matter.

Critics have dismissed these assurances, pointing out that the tax authority’s findings hold little credibility when the minister who failed to pay correct taxes is returned to a senior Cabinet position overseeing housing and taxation matters.

The controversy highlights growing concern over accountability standards within the Burnham government, particularly regarding ministers who leave office under ethical clouds only to be rapidly rehabilitated without consequence.

The £16,876 severance payment was intended to assist former ministers transitioning out of government service. Parliamentary rules typically require such payments to be returned if the recipient rejoins the Cabinet within a specified period, though enforcement remains inconsistent.

With information from GB News