Key points
- Angela Rayner resigns over tax issue
- Major Labour reshuffle under Starmer
- David Lammy becomes Deputy Prime Minister
- Labour faces pressure from Reform UK
ISLAMABAD: Shabana Mahmood, a British MP of Pakistani origin, has been appointed Home Secretary following a major cabinet reshuffle prompted by Deputy Prime Minister Angela Rayner’s resignation.
Rayner stepped down after admitting she underpaid property tax on a new home, saying: “I deeply regret my decision to not seek additional specialist tax advice.”
The Rt Hon Shabana Mahmood MP @ShabanaMahmood has been appointed as Secretary of State for the Home Department @UKHomeOffice. pic.twitter.com/HUKQh8wnDT
— UK Prime Minister (@10DowningStreet) September 5, 2025
Prime Minister Keir Starmer also appointed new deputy and foreign secretaries in an effort to reassert control after a week of political turmoil. David Lammy, previously Foreign Secretary, was made Deputy Prime Minister, replacing Rayner.
The Rt Hon David Lammy MP @DavidLammy has been appointed as Lord Chancellor and Secretary of State for Justice @MoJGovUK.
He will also be Deputy Prime Minister. pic.twitter.com/0wsoPtckUf
— UK Prime Minister (@10DowningStreet) September 5, 2025
Yvette Cooper moved from Home Secretary to Foreign Secretary, and Justice Secretary Mahmood took over Cooper’s former role, reports The Guardian.
Safe pair of hands
All three are trusted figures within Labour. Mahmood, 44, is viewed as a “safe pair of hands” and known for her no-nonsense approach during her time overseeing the justice system. Lammy, despite being promoted, had to give up the prestigious foreign brief and return to the justice department.
The reshuffle, though anticipated after Starmer revamped his economic advisory team, went further than expected due to Rayner’s exit. The independent adviser on ministerial standards found Rayner had breached the ministerial code by not paying the appropriate property tax.
The Rt Hon Yvette Cooper MP @YvetteCooperMP has been appointed as Secretary of State for Foreign, Commonwealth and Development Affairs @FCDOGovUK. pic.twitter.com/kAgVih1vVD
— UK Prime Minister (@10DowningStreet) September 5, 2025
She registered a new property in Hove as her main residence after transferring her share of her northern family home into a trust for her disabled son. Initially believing she wouldn’t owe extra tax, she later accepted she was wrong and agreed to pay the £40,000 owed.
Sound appointments
“Angela is a ‘big beast’ and hard to replace,” noted one Labour MP, but described the new appointments as “sound”.
Cooper’s move is seen as a promotion, having led a frequently criticised immigration policy. Starmer values loyalty highly, especially after facing more ministerial resignations early in his premiership than any leader in nearly 50 years.
Rayner’s departure is a blow, especially with Labour now trailing Nigel Farage’s Reform UK in the polls. At Reform’s party conference in Birmingham, Farage said Labour was in “deep crisis” and suggested the next general election could be as early as 2027. “Despite all the promises that this would be a new, different type of politics, is as bad, if not worse, than the one that went before,” he said.
Rayner also stepped down as deputy Labour leader, making Lammy the likely frontrunner for that role.