Rachel Reeves has issued an apology for an unintended oversight after breaching local housing regulations by leasing her family residence.
Communicating with Keir Starmer, the Chancellor expressed her lack of awareness regarding licensing prerequisites in Dulwich Wood, located in south London. The Prime Minister, in a statement conveyed through No10, mentioned consulting with his independent ethics adviser, Sir Laurie Magnus, who suggested that further inquiry was unnecessary.
Reeves acknowledged not securing the mandatory “selective” rental license for her property upon moving into No11 Downing Street last year, as mandated by Southwark Council within the ward.
Apologizing sincerely for the error uncovered by the Daily Mail, Reeves informed the PM that neither she nor her family were cognizant of the obligatory license. Failure to obtain the license could result in prosecution or fines. The Chancellor reportedly relied on advice from a letting agent who had assured her that they would notify her if a license was required.
In her correspondence, Reeves stated, “This was an inadvertent mistake. As soon as it was brought to my attention, we took immediate action and have applied for the license.” She continued, “I sincerely apologize for this error and I would be happy to address any queries you may have.”
In response, the Prime Minister indicated that following consultation with his independent adviser, no further investigation was warranted due to Reeves’ swift corrective actions and apology. He emphasized that in certain circumstances, an apology suffices as per the Ministerial Code.
Starmer remarked that while it was regrettable that the necessary license was not obtained promptly, he believed the Chancellor was handling the situation with the appropriate level of urgency and seriousness.
The decision to support the Chancellor comes shortly before the Budget, where challenging decisions are expected. Starmer refrained from ruling out a potential income tax increase on November 26.
Kemi Badenoch, the Tory leader, had previously urged the Prime Minister to conduct a thorough investigation into Reeves’ oversight, emphasizing the importance of upholding the law. Daisy Cooper, the Lib Dem deputy leader, criticized the Chancellor for diverting attention from crucial government duties with such incidents.
The details of the matter were disclosed in a letter from Reeves to Starmer, outlining the steps taken to rectify the situation and the apologies offered. Starmer, in response, underscored the significance of maintaining high ethical standards in political service and commended Reeves for her prompt actions to address the issue.