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Is Rachel Reeves or her letting agency at fault for unlicensed rental property? – London Wallet

Mark Helprin by Mark Helprin
October 30, 2025
in Real Estate
Is Rachel Reeves or her letting agency at fault for unlicensed rental property? – London Wallet
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Rachel Reeves

The rules are clear: “You can be prosecuted or fined if you’re a landlord or managing agent for a property that needs a licence and do not get one.”

That is according to Southwark Council’s website, the area that covers chancellor Rachel Reeves’ family home, which was rented out last year without the relevant selective license.

Reeves has admitted renting out her Southwark family home without the necessary licence, breaking housing rules that clearly state landlords or managing agents can face prosecution or fines for non-compliance.

The chancellor reportedly informed prime minister Sir Keir Starmer, the independent ethics adviser, and parliament’s standards commissioner of the oversight.

In her defence, Reeves says she relied on a letting agency that failed to alert her that the property required a licence. She rented out the home after moving into a Downing Street flat following last year’s election win.

A spokesperson for Reeves described the situation as an “inadvertent mistake” and confirmed that she has now applied for the licence.

Opposition MPs have called on the prime minister to take action, while Reeves’ team emphasises her prompt response and transparency.

A spokesperson for Rachel Reeves said: “Since becoming chancellor Rachel Reeves has rented out her family home through a lettings agency.

“She had not been made aware of the licencing requirement, but as soon as it was brought to her attention she took immediate action and has applied for the licence.

“This was an inadvertent mistake and in the spirit of transparency she has made the prime minister, the Independent Adviser on Ministerial Standards and the Parliamentary Commissioner for Standards aware.”

Nick Watt, the political editor of Newsnight on BBC 2, told viewers last night that while the chancellor failed to follow the rules in her council by obtaining a license, it is his understanding that the rental agreement she signed will show that her letting agency stated that if a rental licence was needed, the letting agency would advise her.

With legal responsibility technically resting with the landlord, but the letting agency, which is yet to be named, also facing criticism for failing to advise her, the question remains: who is really at fault?

EYE NEWSFLASH: Revealed! The letting agency believed to be at the centre of Rachel Reeves’ unlicensed home debacle





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