Angela Rayner
PHOTO : LUCY NORTH/PA/PAWIRE

The former Deputy Prime Minister Angela Rayner has been cleared by His Majesty's Revenue and Customs office of any wrongdoing over her failure to pay stamp tax duty that exceeded thousands of pounds.

Now that she has been cleared it clears a pathway for her to possibly challenge her old boss for the premiership as Kier Starmer's government has unravelled completely.

Rayner Cleared of Wrongdoing

Thursday Morning Angela Rayner announced that she had been cleared of any wrongdoing in her tax dispute case. The announcement was celebrated by multiple allies of Rayner.

Tracy Brabin, the mayor of West Yorkshire said she was 'delighted' her dispute had been resolved.

Asked if she desired Rayner to be 'part of the conversation' surrounding Labour Party leadership she told BBC Radio 4's Today Programme: 'What she said this morning is that she wants to play her part, but we are in agreement that we can't continue with the process of government, as it is not fit for the 21st century. It will not deliver the pace of change that the public have been waiting for for over 15 years and are crying out for change. We cannot be the party left behind.'

Why was Rayner Being Investigated?

'However, given the recent allegations in the press I have subsequently sought further advice from a leading tax counsel to review that position and to ensure I am fully compliant with all tax provisions. I have now been advised that although I did not own any other property at the time of the purchase, the application of complex deeming provisions which relate to my son's trust gives rise to additional stamp duty liabilities,' she said.

'I acknowledge that due to my reliance on advice from lawyers which did not properly take account of these provisions, I did not pay the appropriate stamp duty at the time of the purchase. I am working with expert lawyers and with HMRC to resolve the matter and pay what is due,' she said to The Guardian in a statement.

The reason for the HMRC investigation surrounded a trust for her disabled son, a flat she bought in Hove should have been considered Rayner's second home; meaning she should have paid an extra £40,000 in stamp duty.

What is Next for Rayner?

As Kier Starmer's government is on the brink of collapse Rayner is not yet another name who could throw their hat in the ring if a leadership challenge is triggered.

'I've made it clear that I wasn't going to trigger the prime minister – and that I want to see change. I want to see actions, not just words.'

Rayner declined to say whether Starmer should fight any leadership challenge, saying that was a matter for the prime minister. When pressed on whether he should step aside, she said: 'Keir will have to reflect on that,' she said to the Guardian.

'I'll play my part in doing everything we possibly can to deliver the change, because it's not a personal ambition, I know the difference it makes,' she said when asked if she could challenge Starmer.

'Whatever role I can play, I will keep pushing and pushing hard because I want the people out there at the moment who are really struggling ... to know that I'm putting all my energy into fighting for them.'

'I've said to Keir this is a really significant moment for our party and the country ... The pace of change hasn't been enough for voters to see, and also mistakes have really blown us off course and made voters doubt us,' she continued.