Angela Rayner has refused to quit her post, despite the police launching an investigation into her.
The Shadow Deputy Prime Minister, who demanded Boris Johnson resign when police were investigating him for breaches of lockdown, has faced accusations of hypocrisy as a result of the scandal.
During the Partygate inquiry, Rayner posted on social media: "Boris Johnson's Downing Street is under police investigation, how on earth can he think he can stay on as Prime Minister? Millions of people are struggling to pay the bills, but Boris Johnson and his government are too wrapped up in scandal to do anything about it. Disgraceful."
Rayner also demanded Tory candidate Jill Mortimer publish her tax details in 2021 during the Hartlepool by-election campaign, sparking further accusations of hypocrisy.
In 2020, Rayner demanded that Mortimer publish "in full her tax returns… in the interests of transparency".
Former Cabinet minister Simon Clarke said: “Hypocrisy is the worst of political sins.” While Tory deputy chairman Jonathan Gullis also suggested she was guilty of hypocrisy over the incident saying: "Same old Labour".
Greater Manchester Police confirmed today that they are investigating the Shadow Deputy Prime Minister after she was reported to the police by Tory MP James Daly, amid allegations she may have given false information about where she was living.
A spokesperson for the force said: “We’re investigating whether any offences have been committed. This follows a reassessment of the information provided to us by Mr Daly.”
The Deputy Labour leader is embroiled in a row over whether or not she should have been liable to pay capital gains tax when she sold a house in 2015.
Rayner registered the former council house in Stockport as her main address on the electoral register, meaning she was not liable to pay capital gains tax on the £48,000 profit.
The police had initially said that the Labour MP would not face an investigation over claims she gave false information about her primary address on the electoral roll in a statement earlier this month.
But Daly wrote to the police and argued that officers appeared not to have contacted witnesses or looked at the electoral roll or other relevant documents.
The Bury North MP alleged she may have made a false declaration about where she was living on the electoral register.
Last month, the force confirmed that a detective chief inspector had been assigned to reconsider the case.
Rayner has maintained that there has been “no wrongdoing” and “no unlawfulness”.
She told the BBC: “I’ve been very clear there’s no rules broken. They [the Conservatives] tried to manufacture a police investigation … I got tax advice which says there was no capital gains tax. It’s a non-story manufactured to try and smear me.”
Rayner has said she "lived there, paid the bills there and was registered to vote there" until she sold the property in 2015.
The revelation of her £48,000 profit on the sale of her home was first revealed by Lord Michael Ashcroft in his book.
Labour leader Sir Keir Starmer yesterday said “nobody is interested” in questions about Rayner’s tax affairs.
