Reeves Caught in Fresh Storm Over Rental Licence Scandal

 

 

Chancellor Rachel Reeves is facing mounting pressure tonight after it emerged that two separate estate agents warned her she would need a licence to rent out her London home—contradicting her claim to the Prime Minister that she had no idea about the requirement.

 

According to reports, both Harvey & Wheeler and Knight Frank told Ms Reeves and her husband, Treasury official Nicholas Joicey, that a Selective Licence was required for their rented property in Southwark. Yet no licence was obtained until this Friday—weeks after the story broke and months after the property was first let.

  

 

Shadow Treasury Minister Gareth Davies accused Reeves of giving “shifting explanations” and urged the Prime Minister to “order a full investigation without delay.”

 

The Prime Minister had previously relied on advice from his ethics chief, Sir Laurie Magnus, who ruled the lapse “an unfortunate but inadvertent error” and cleared Reeves of deliberate wrongdoing. However, newly uncovered emails showing Reeves was informed about the licence could reopen the controversy.

 

Harvey & Wheeler said it was responsible for the “oversight,” claiming a staff member left before filing the paperwork. Reeves later admitted it was still her responsibility, telling the PM: “I accept it was our responsibility to secure the licence.”

 

Despite the apology, failure to obtain the permit remains a criminal offence, punishable by an unlimited fine or repayment of up to 12 months’ rent—around £38,000 in Reeves’ case. Southwark Council advises tenants to reclaim rent through a tribunal when landlords fail to hold valid licences.

 

Downing Street is standing by Reeves, insisting her case is “distinct” from that of Angela Rayner, who resigned in September over unpaid stamp duty. But with the Budget weeks away, the Prime Minister’s refusal to reopen the probe is drawing sharp criticism from across Westminster.

Key Takeaways

• Rachel Reeves was warned by two estate agents she needed a Selective Licence before renting her property.

• Failure to obtain the licence could expose her to criminal penalties and rent repayment claims.

• Despite ethics clearance, pressure mounts on the PM to reopen the inquiry amid accusations of shifting explanations.

 

Source: Daily Mail

 

 

 

Fine her to the max and be done with it.

I understand that before entering politics she worked for Halifax Building Society. Their core business is financing properties. Maybe I am being naive, but I am surprised that she didn't even have a nodding aquaintance with the rules regarding letting property...

3 hours ago, JAG said:

I understand that before entering politics she worked for Halifax Building Society. Their core business is financing properties. Maybe I am being naive, but I am surprised that she didn't even have a nodding aquaintance with the rules regarding letting property...

 

The need for a licence to rent out property did not exist when Reeves worked for a building society.

 

The legislation itself is ill thought out. A licence is required for all properties housing a family group, 5 or more people but outside of that it is down to the local authority. Therefore, in some boroughs such as Southwark all landlords, irrespective of the size of the property,  need a licence while in others,  such as nearby Bexley, only some do. Indeed,l within Bexley itself the requirements vary by ward! 

 

This is an unnecessary piece of legislation - it serves no purpose - and its' application is piecemeal and confusing.