Starmer faces calls for probe after Reeves admits falling foul of rental rules

Sir Keir Starmer is facing calls to launch a “full investigation” after Rachel Reeves admitted she fell foul of local housing regulations when she put her family home up for rent.

The Chancellor raised the error with the Prime Minister’s independent ethics adviser and admitted it to Sir Keir, after it was revealed by the Daily Mail.

The newspaper reported Ms Reeves did not obtain a selective rental licence for her south London home when she moved into No 11 Downing Street after Labour won the election.

The family home was advertised for £3,200 per month in rent.

Southwark Council requires people renting out their properties in certain areas, including where Ms Reeves’ home is, to get one of the licences in advance, the Mail reported.

The Chancellor is understood to accept she should have got the licence, but relied upon the advice of a letting agent which said it would advise if one was needed, but did not tell her it was necessary.

A spokesperson for Ms Reeves said: “Since becoming Chancellor Rachel Reeves has rented out her family home through a lettings agency.

“She had not been made aware of the licencing requirement, but as soon as it was brought to her attention she took immediate action and has applied for the licence.

“This was an inadvertent mistake and in the spirit of transparency she has made the Prime Minister, the Independent Adviser on Ministerial Standards and the Parliamentary Commissioner for Standards aware.”

But the Conservatives insisted further steps were needed.

Writing on social media, Tory leader Kemi Badenoch said: “The Prime Minister must launch a full investigation.

“He once said ‘lawmakers can’t be lawbreakers’.

“If, as it appears, the Chancellor has broken the law, then he will have to show he has the backbone to act.”

Daisy Cooper, Lib Dem deputy leader, meanwhile said: “The Chancellor is meant to be delivering growth but the only thing she appears to be growing is the Government’s list of scandals.

“Just weeks before the Budget, this risks seriously undermining confidence in this Government and its ability to focus on the urgent tasks at hand.”

The news Ms Reeves failed to obtain the licence comes after several high profile Government figures have had to step down as a result of scandals.

Among these were Angela Rayner, the former deputy prime minister and housing secretary, who resigned following a row about her tax affairs.

Lord Mandelson was also sacked as ambassador to Washington after details of his relationship with the dead paedophile financier Jeffrey Epstein came to light.

Ms Reeves is faced with questions about the arrangements for renting out her home less than a month before she is due to deliver what is expected to be a difficult Budget.