
Iain Dale 7pm - 10pm
25 May 2025, 12:19 | Updated: 27 May 2025, 08:33
Angela Rayner told LBC that she ‘has no desire’ to be Prime Minister after a leaked memo sparked rumours she was preparing a leadership bid.
The Deputy Prime Minister warned of ‘serious consequences’ if anyone in her department leaked the memo, in which she seemingly called for Chancellor Rachel Reeves to consider tax increases instead of spending cuts to raise funds.
The memo was submitted in mid-March, before the Spring Statement, and contained proposed tax rises on savers and investors as alternatives to the Chancellor's spending cuts.
In the document, Rayner set out a series of "alternative proposals for raising revenue" and said that the plans would be “popular, prudent and would not raise taxes on working people”.
The memo sparked rumours that Rayner was preparing to launch a leadership campaign to take Sir Keir Starmer's job. She is considered the favourite to do so among Labour's core supporters, as Starmer's popularity continues to decline.
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But the Deputy Prime Minister has now slapped these suggestions down, telling LBC's Ben Kentish: "I do not have any desire to be leader or run a leadership campaign."
"I am incredibly proud to be the Deputy Prime Minister and to be building the social homes that kept me safe when I was young, building employment rights.
"That means that people have good, secure work so they have dignity and are able to raise their family. And building the breakfast clubs and looking after people from a working class background, that's what keeps me motivated every morning and I'm incredibly proud to do it."
She also denied any responsibility for leaking the memo, which was seen by the Telegraph, warning that 'there will be serious consequences' if it was someone in her department that leaked it.
Deputy PM Angela Rayner joins Ben Kentish | Watch in full
Asked if she could be certain the document did not originate from her department, she said: "Absolutely. And if I found out anyone did, there'd be serious consequences."
"I don't approve of leaks. I'm not going to go into that. But if there was, it would be serious consequences. It would be considered a serious breach," she added.
Rayner, who is also the Housing Secretary, earlier suggested an inquiry was underway to discover how the document got leaked to the press.
The proposed measures contained in the memo include reinstating the pensions lifetime allowance, changing dividend tax and a higher corporation tax level for the banks.
Rayner also proposed restricting migrants' access to the state pension and Universal Credit, and raising the fee immigrants must pay for using the NHS.
Conservative leader Kemi Badenoch said of the leaked memo at Prime Minister's Questions on Wednesday: "He has lost control of the economy. He has lost control of his Cabinet.
"She [Rayner] is sitting there staring at me. She knew exactly what she was doing when she briefed that into the papers."
At Prime Minister's Questions Sir Keir Starmer also announced a U-turn on cuts to pensioners' winter fuel allowance.
MPs are calling for the Prime Minister to go further, backing Rayner's call for a tax raid on savers and urging him to scrap planned welfare cuts.
Steve Reed, the Environment Secretary, denied the Cabinet was split on Labour’s economic approach and insisted Sir Keir’s top team was “united”.