The United Kingdom’s Labour Party is facing a pivotal moment as it embarks on a fast-tracked contest to replace Angela Rayner as deputy leader, following her dramatic resignation over a tax controversy. The process, set in motion by the party’s National Executive Committee on September 8, 2025, has already begun to reshape the political landscape within Labour, raising questions about party unity, the influence of unions, and the future direction of Prime Minister Keir Starmer’s government.
Angela Rayner’s decision to step down sent shockwaves through Westminster. According to Sky News, Rayner announced she would not participate in the race to choose her successor, despite overtures from several hopefuls seeking her endorsement. Sources close to the former deputy leader stated that she would remain “hands-off in the leadership race, given the nature of her departure from government.” As one Labour insider put it, “It’s knocked the stuffing out of her.”
Rayner’s resignation was triggered by an ethics investigation led by Sir Laurie Magnus, Starmer’s independent ethics adviser. The investigation concluded that Rayner had breached the ministerial code by failing to seek expert tax advice on whether she owed a higher rate of stamp duty for her new home in Hove, East Sussex. The report found she had not paid enough tax on the property’s purchase, a revelation that ultimately forced her to relinquish her three government posts. The fallout was immediate: Starmer was compelled to orchestrate a major cabinet reshuffle, upending his top team just weeks before Labour’s annual conference in Liverpool.
With the deputy leadership now vacant, the race to fill Rayner’s shoes has drawn a diverse slate of potential candidates. The list includes prominent figures such as former transport secretary Louise Haigh, Luton MP Sarah Owen, Culture Secretary Lisa Nandy, and former Commons leader Lucy Powell. Justice Secretary David Lammy, who has already stepped in as deputy prime minister, is also considered a contender, though he will not assume the role of deputy Labour leader. Other names circulating in Westminster include housing minister Alison McGovern, former shadow minister Rosena Allin-Khan, Walthamstow MP Stella Creasy, Dame Emily Thornberry, Dawn Butler, and Richard Burgon.
The contest’s rules, outlined by Labour’s National Executive Committee and reported by Bloomberg, are stringent. Aspiring candidates must secure nominations from at least 80 Labour MPs—a fifth of the parliamentary party—by 5 p.m. on September 11. Nominations opened on September 9, with a hustings scheduled for September 10 to give candidates the opportunity to make their case before colleagues. Those who clear this first hurdle must then gain the support of 5% of constituency Labour parties (CLPs) or at least three affiliated organizations, two of which must be trade unions. Only then will they appear on the ballot for a vote by all party members and affiliated supporters.
The timeline is tight. After the nomination phase, local party nominations will open on September 13 and close two weeks later. The ballot itself opens on October 8 and closes at noon on October 23, with the winner set to be announced on October 25. Labour’s annual conference, starting September 28, is expected to become a key battleground in the campaign, as candidates set out competing visions for the party’s future.
The process has not been without its controversies or challenges. Home Secretary Shabana Mahmood, once tipped as a potential candidate, has ruled herself out, telling reporters in London, “I’m the Home Secretary, so that is my job, and my top priority is securing our borders. I will not be running for deputy leader of the Labour Party.” Former Cabinet minister Louise Haigh, who had been championed by Greater Manchester Mayor Andy Burnham, is also not expected to enter the race. Dame Emily Thornberry, chairwoman of the Foreign Affairs Committee, has indicated she is considering a bid, though her North London constituency may work against her in a party seeking broader geographical representation.
The question of who should step into the deputy leadership role has sparked debate within Labour’s ranks. Baroness Harriet Harman, a former deputy leader herself, told BBC Radio 4’s Today that the party should select a woman from outside London to broaden its appeal. “I don’t think we can have a male prime minister, a man as deputy prime minister and a male deputy leader of the party. We need somebody who is not a counterpoint to the leader, but is complementary to the leader, will broaden the reach of the leader and galvanise the party,” Harman argued.
Rayner’s departure has also raised concerns among union leaders, who saw her as a powerful champion for workers’ rights within government. At the TUC conference in Brighton, union members voiced fears that her absence could lead to a dilution of the Employment Rights Bill, a key piece of legislation for Labour’s base. Ministers have repeatedly assured unions that the bill will not be weakened, but skepticism remains, especially as the contest threatens to open up divisions within both the parliamentary party and the broader left-wing movement.
Meanwhile, Rayner herself is under pressure from opposition parties to reject a severance payment, or “golden goodbye,” which ministers are entitled to upon leaving Cabinet. The sum could be as much as £16,876 under current rules. New Labour regulations, due to take effect in October, will allow the prime minister to deny such payouts to ministers found to have committed a “serious breach” of the ministerial code. However, as Rayner’s exit predates these changes, the decision rests with her. The prime minister’s official spokesman commented, “It’s obviously right that we’ve changed the rules and are strengthening those rules, which will come into effect in October. But I’m not going to get into individual cases.”
The contest is unfolding against a backdrop of political turbulence for Labour. According to Sky News, Starmer’s government is polling behind Reform UK, with Labour’s support at its lowest level since the previous year’s general election. The leadership race, while necessary, threatens to become a distraction at a time when the party is striving to project unity and deliver on its campaign promises.
As the campaign intensifies, all eyes will be on Liverpool, where the annual conference may well become a stage for both policy debate and political maneuvering. The outcome of the deputy leadership race will not only determine Rayner’s successor but could also signal the future direction of the Labour Party as it navigates a period of uncertainty and change.
With the contest’s conclusion set for October 25, Labour’s members, supporters, and the nation at large await the result—one that will shape the party’s trajectory at a critical juncture in British politics.