Angela Rayner’s resignation has derailed Starmer’s reset

On Monday we were hearing there would be no ministerial reshuffle and by Friday lunchtime Angela Rayner had resigned – leaving a hole to fill around the cabinet table. As housing secretary, failing to pay sufficient stamp duty was probably always going to be politically fatal, regardless of the complex situation. Sir Laurie Magnus, the prime minister’s independent ethics adviser, found that Rayner had “acted with integrity” but that nonetheless she “cannot be considered to have met ‘the highest possible standards of proper conduct’” as required by the ministerial code. Given her seniority and her role as chief critic of ethical failings by previous Conservative ministers, she could not credibly have stayed in office.

Starmer’s strengthened ethics system has passed its biggest test

In his letter accepting Rayner’s resignation, the prime minister referred to his move to grant Magnus more powers. The decision to allow the adviser to start his own investigations without requiring permission from the Starmer was not necessary as Rayner referred herself for the investigation. But under previous governments the independent adviser’s reports have sometimes sat on the shelf for weeks while ministers decide how to react. The rapid resolution of the situation has shown the value of Starmer’s reforms – and also helped Rayner end the stress that she says her family have faced during this process.

This is a huge blow to the government

Now that the investigation is complete, the government needs to pick up the pieces. Starmer has lost a trusted deputy, and an effective secretary of state who was making progress on government priorities.

There is no requirement for him to reappoint a deputy prime minister; this is a role that not all governments choose to appoint. Rayner’s departure may actually help clarify some of the confusion around how her role related to that of Darren Jones, newly appointed chief secretary to the prime minister in No.10.

Labour does need a new deputy leader – though it could leave the role vacant until its conference in a couple of weeks, or the cabinet could choose a temporary stand in until then. But once the contest starts in earnest, it will be sure to become a debate on the future direction of the party and how it respond to threats from both the right and left. This process is bound to be a distraction for a government trying to focus on delivering its priorities.

Rayner’s departure will also precipitate a reshuffle, meaning new ministers getting to grips with their briefs. With just weeks to go until party conference, new ministers will not have long to work out what their new roles entail before they need to set out their vision at Labour’s biggest political event of the year.

Starmer will rightly point to Rayner’s resignation as proof of his government’s commitment to dealing robustly with ethical problems. However, the episode has derailed his reset and removed the momentum he had hoped to create.