Rachel Reeves’ housing scandal was a small administrative mistake, but a big political mistake | Oliver Eagleton

AAt first glance, the story may seem trivial: a bureaucratic misstep with few tangible consequences that will soon recede from the headlines. The Rachel Reeves housing scandal is certainly not Watergate. Her failure to obtain the proper license for her south London property, which she began renting out as soon as she moved to Downing Street – potentially putting her in breach of the law as well as the ministerial code – is a minor misstep compared to the country’s multiple social crises. The Prime Minister said that the issue was A “Unfortunate” but “unintentional.”“Wrong, while the Conservatives called for the chancellor’s resignation. However, neither party seems to have recognized its deeper political significance.

Two other senior Labor figures have also recently been expelled over housing problems: former deputy prime minister Angela Rayner Underpaid tax On her second home in Hove, and Homelessness Minister Rushanara Ali for evicting four tenants from her London home and raising the rent. Why were each of them thwarted by housing?

The irony, of course, is that housing is an area where Labor has made some progressive reforms. There are legitimate criticisms of the party’s changes to planning legislation and its flawed “build, baby, build” approach to the supply side of solving the housing crisis, which will do little to bring down prices. But there has also been some welcome funding and legislation. The party aims to spend £39 billion to build 300,000 affordable homes over a decade, 60% of which will be for social rent. and Tenants’ Rights Lawwhich recently received royal assent, will bring the UK more in line with European standards on rent regulation, protecting tenants from no-fault evictions and unreasonable costs. There are also rumors that the budget will include some changes to property taxes, with He plans To put expensive homes within the council tax band. This is a less radical option to increase revenue from wealthy homeowners, but it still represents a clear improvement over the current system.

However, such policies will not be immediately felt by the general public – especially when it comes to construction – and at the same time, housing will remain a site of political theater. For obvious reasons, it is a potential liability for ministers who have homes in both London and their constituencies, or who receive premium flats, as is the case for the Prime Minister, the Chancellor and the Foreign Secretary. Reeves, of course, lives in Number 11 and has access to a 21-room mansion in Buckinghamshire.

However, ministers are often more than just accidental landowners. there 85 A total of landlords serve in Parliament, more than half of whom are in the Labor Party. Reeves and her husband are said to own another flat in London in addition to their larger home, from which they receive rental income. This surplus of property is not a good look at a time of general austerity – “armored“The restrictions keep public investment at meager levels, enough to prevent departments such as health and education from collapsing. Day-to-day administrative budgets are set to fall by 16% On average. Benefits for Disabled persons It is set for cutting. The upcoming budget promises more pain, with the government doubling down on its commitment to so-called fiscal credibility.

Reeves’ miss is also not a good look in light of her previous record. While working at Scottish Halifax Bank, she was investigated for her alleged “cavalier” approach to expenses, with a complaint alleging she and other colleagues were using her to “fund a lifestyle”, and as a politician, she received thousands of pounds in donations to spend on clothes, as well as free tickets to a Sabrina Carpenter concert and the National Theater – her late announcement coming as a surprise. violation to parliamentary rules.

Since the party is historically linked to workers, the Labor Party continues to stake its credibility on serving “the people,” even though its current leadership is largely drawn from professional and political backgrounds and not from the labor movement. Even if the government now takes small steps to ease the housing crisis and make rental conditions safer, this will not affect the legitimate impression among many in the public that Labor belongs to a political class whose interests conflict with their own. This gap, in turn, makes the party vulnerable to scandal – which can easily be exploited by forces to its right. Until people feel that their housing situation and lifestyle are also improving, any ministerial benefits are sure to stick around.