Labour’s day of anarchy: Angela Rayner claims to have been cleared by taxman and says PM should consider quitting – as Streeting prepares to challenge

Labour’s leadership anarchy took a dramatic turn today as Angela Rayner announced she had been cleared by the taxman and Keir Starmer said he might consider quitting.

The former deputy Prime Minister has thrown his hat in the ring by revealing he has paid £40,000 to resolve a row with HMRC over unpaid stamp duty.

More importantly, he insisted that no penalty had been imposed on him for deliberate or ‘reckless’ tax evasion.

The shock move came hours before Health Secretary Wes Streeting was widely expected to announce a formal challenge to Sir Keir.

Manchester Mayor Andy Burnham is also set to announce whether he has a way to return to the House of Commons at a time when days of heated political maneuvering have come to a head.

Mr Burnham withdrew from his regular BBC Radio Manchester program this morning, but a number of MPs denied striking withdrawal agreements so they could fight the by-election.

Loyalists are also signaling that Sir Keir will not go quietly, orchestrating a battle royale that has sent markets into panic and increased Britain’s borrowing costs.

It is feared the Government faces months of paralysis as warring factions debate who should be responsible and potentially move left in a frantic bid to sway activists.

As Westminster prepares to make an impact today:

• Labor MPs face a ‘major decision’ and leadership ‘chaos’ could derail the economy, Rachel Reeves warns
• Ms Rayner was only informed of the deal yesterday afternoon, with one of her allies telling the Daily Mail: ‘The hour is coming, the taxman is coming!’
• Mr Streeting is due to respond to NHS waiting list figures this morning and Starmer supporters say there are 81 nominations from MPs for a formal challenge;
• Other rivals are also being prepared, with speculation surrounding Ed Miliband, deputy leader Lucy Powell and others. ‘Action Man’ is former Marine Al Carns.

Andy Burnham is expected to signal his desire to succeed Sir Keir today. Ms Rayner says she did not make a deal with Manchester mayor

As her party descends further into civil war, Ms Rayner conducted a series of interviews this morning to defend her case.

He also poured cold water on the allegations that he made a deal with him. friend Andy Burnham says: ‘I don’t make deals’.

Ms Rayner explained He eventually donated £40,000 to HMRC for underpaying stamp duty on a seaside flat but insisted he was not ‘dodging tax’.

He insisted that authorities had cleared him of ‘willful misconduct or carelessness in relation to tax affairs’. HMRC has refused to comment on individual tax cases.

Ms Rayner made clear she was prepared to take part in any leadership contest, saying she would ‘do my part’ but would not strike first.

‘I made it clear that I would not trigger the Prime Minister and that I wanted to see change. “I want to see not just words but also actions,” he said.

‘We are not delivering the change that people voted for and I feel we have made some mistakes that need to be corrected.

‘I told Keir that this was a really important moment for our party and the country. ‘The pace of change hasn’t been enough for voters to see, and also the mistakes have really thrown us off course and made voters doubt us.’

Asked if the Prime Minister would now resign, he said: ‘Keir will have to think about it.’

Ms Rayner was forced to resign as Deputy Prime Minister and Housing Secretary last September after an unscrupulous watchdog found she had broken the Ministerial Code by underpaying nearly £40,000 in stamp duty on a seaside flat in Hove, East Sussex.

In an interview with ITV, the former Labor deputy leader said ‘people felt I was evading tax’ but ‘HMRC concluded there was no wrongdoing on my behalf’.

He also said Guard: ‘I will do my part in doing everything we can to bring about change, because this is not a personal ambition, I know the difference it makes.

‘Whatever role I can play, I’m going to keep pushing because I want the people who are really struggling out there right now… to know that I’m putting all my energy into fighting for them.’

But the MP, seen as the favorite on the Labor Left, suggested he would not fire the starting gun in the leadership race.

Asked if he had struck a deal with Manchester mayor and leadership hopeful Andy Burnham, he said: ‘No, I said I wouldn’t trigger [a coup against] Prime minister.”

Meanwhile Mr Burnham appeared from his regular program on BBC Radio Manchester this morning.

His spokesman said he had to ‘prioritise the controversies arising from last week’s elections’.

Mr Streeting is set to fire the starting gun on a contest this morning after yesterday’s brutal face-to-face showdown with the Prime Minister.

As his coup gathered pace, the Health Secretary was in Downing Street for just 16 minutes before emerging grumpy.

Sir Keir is reduced to begging MPs to step back from the brink and warning of ‘chaos’ and ‘paralysis’.

He told them during a series of private meetings in the House of Commons: ‘We cannot allow a leadership contest to plunge us into chaos and a challenge will 100 per cent do that.’

The prime minister’s allies insist he will stand his ground and fight for his job in what is likely to become a three-way, or even quadruple, contest for the keys to No 10.

Amid deepening panic in the party, MPs are even considering Ed Miliband as they seek to unite behind their own candidate.

Ms Reeves welcomed official figures showing the UK economy was resilient as the Middle East crisis loomed in March.

However, the Chancellor said: ‘Labour MPs have an important decision to make today, but the figures show that the economy is growing and our economy is growing strongly as we enter this conflict because of the decisions I have made as chancellor, we must not risk that.’

Mr Burnham is expected to signal his desire to succeed Sir Keir today.

But given there is no place for him in Westminster, it remains unclear whether he will find his way back to parliament in time.

A union leader accused Mr Streeting of attempting a ‘coup’ by bidding for the leadership before Mr Burnham could stand up.

Wes Streeting filmed in The King’s Speech on Wednesday. Health Minister will quit cabinet today and launch leadership struggle, dragging Labor Party into civil war

Sir Keir Starmer, pictured on Wednesday, implored MPs to step away from the brink of the leadership race, warning it would lead to ‘chaos’.

MPs on the party’s left were debating last night whether to back Angela Rayner or Mr Miliband if Mr Burnham drops out of the race.

Mr Miliband had emerged as the favorite despite being publicly rejected at the 2015 election, but his wife Justine Thornton is thought to be against the idea of ​​him running for leader again.

Other potential candidates include deputy leader Lucy Powell and Culture Minister Lisa Nandy.

Cabinet Minister Darren Jones is being encouraged to run as the ‘continuity Starmer’ candidate if the Prime Minister steps aside. Former Special Forces officer Al Carns is also considering entering the race.

During the King’s Speech debate yesterday, Kemi Badenoch said Sir Keir was ‘in office but not in power’.

In a stunning performance in the House of Commons, the Conservative leader warned that Britain would be ‘peacocked for months by leadership candidates unless the country is run’.

He added: ‘In the last 48 hours, nearly 100 Labor MPs have called for the Prime Minister’s resignation. Four ministers resigned

‘It is clear that his authority is gone and that he cannot deliver on the little contained in this King’s Speech. ‘This is a Government that has been in office for less than two years, is out of ideas and has run out of ways.’

Pressure has been mounting on Sir Keir since last week’s disastrous local elections in which Labor lost 1,500 council seats in England and finished third in Scotland and Wales.

Downing Street had thought it had eliminated Mr Streeting’s threat after failing to mount an immediate challenge, but the situation flared up again after the failed summit at No10.

The Prime Minister faced another blow when Labor-supporting unions told him to set a timetable for his departure, saying it was ‘clear that the Prime Minister will not lead Labor at the next election’.

In a joint statement, 11 unions said that ‘Labour cannot continue on its current path’ and that it needs a ‘fundamental change of direction’ to ‘reorient Labor towards working people’.

Mr Streeting is ready to fire the starting gun this morning after a face-to-face showdown with the Prime Minister that lasted just 16 minutes yesterday.