Rachel Reeves has issued an apology for an unintentional oversight after breaching local housing regulations by renting out her family residence.
In a communication to Keir Starmer, the Chancellor acknowledged her lack of knowledge regarding licensing obligations in Dulwich Wood, located in south London. Following discussions with the Prime Minister’s independent ethics adviser, Sir Laurie Magnus, it was determined that no further inquiry was warranted.
Reeves confessed to not securing the necessary “selective” rental license for the property upon her relocation to No11 Downing Street last year, as mandated by Southwark Council in the area.
Expressing regret, she admitted that neither she nor her family were aware of the licensing requirement, which came to light after a report by the Daily Mail. Reeves promptly rectified the situation by applying for the license upon becoming aware of the error.
Failure to comply with the licensing regulations could result in legal action or fines. The Chancellor had reportedly relied on advice from a letting agent, who assured her they would advise on the necessity of a license.
In her statement, Reeves emphasized the inadvertent nature of the mistake, highlighting the immediate corrective actions taken. She extended her apologies and offered to address any inquiries regarding the matter.
In response, the Prime Minister referenced consultation with his independent adviser, emphasizing that Reeves’ prompt efforts to rectify the oversight and issue an apology rendered further investigation unnecessary. The Ministerial Code recognizes that in certain circumstances, an apology suffices as a resolution, and the Prime Minister concluded that the matter could be closed following Reeves’ apology.
Keir Starmer remarked that while it was regrettable the appropriate license was not obtained earlier, he believed the Chancellor was handling the situation with the required urgency and seriousness.
The controversy surrounding Reeves’ error comes just prior to the upcoming Budget, where significant decisions are expected. Despite calls for a full investigation from Tory leader Kemi Badenoch, the Prime Minister’s decision to support Reeves suggests that the issue has been addressed appropriately.
Daisy Cooper, the Lib Dem deputy leader, criticized the Chancellor, suggesting that the government’s focus was being diverted by scandals rather than pressing matters, potentially eroding public confidence in the administration’s capabilities.