UK's Rayner cleared by tax authority, Guardian reports

LONDON, ​May 14 (Reuters) - ⁠Britain's former deputy prime minister Angela ​Rayner has been cleared of deliberate wrongdoing over her tax affairs, the Guardian newspaper reported, ​and ‌said she wanted to play her part in any challenge against Prime Minister Keir Starmer.

Senior ⁠members of the governing Labour Party are lining ⁠up to challenge Starmer for the ​leadership, but Rayner had been seen as unable to run until she resolved a controversy around her taxes that prompted her resignation from office last year.

In an ​interview ‌with the Guardian, Rayner indicated she may run in the event of a contest, saying "I'll play my part". She also said that Starmer should "reflect on" stepping aside.

The Guardian said Rayner had settled 40,000 pounds ($54,000) in unpaid ($54,064.00) stamp duty ​after initially paying a lower rate, but has not paid any penalty as ‌a result of the investigation.

The tax authority HMRC was also satisfied there was no tax avoidance, according to the ‌report. An HMRC spokesperson declined to comment due to taxpayer confidentiality law.

Rayner, who is one of the Labour Party's most recognisable figures, had stepped down from her ​role as deputy prime minister, deputy Labour Party leader and housing secretary in 2025 after admitting she ‌had unintentionally underpaid taxes on a property purchase and was found to have breached the ministerial code of conduct.

Asked by the Guardian if Starmer should resign, ⁠she said: "Keir ⁠will have to reflect on that."

Starmer has until ‌now defied calls to resign despite more than 90 lawmakers calling for him to set a ​timetable for his departure ​after a drubbing in local elections. Health minister Wes ‌Streeting is expected to resign on Thursday and try to challenge Starmer for the leadership. ($1 = 0.7398 pounds) (Reporting by Rhea Rose Abraham in Bengaluru and Kate Holton in London; Editing by Jacqueline Wong and Paul Sandle)