Hazel Blears: Communities secretary has stood down from the CabinetThe property allegedly involved had previously been declared as her second home for the purpose of claiming parliamentary expenses.
It is understood that the Communities Secretary was concerned that it might be disclosed that there was another property deal from which she gained.
The Telegraph has learned that the £13,000 that Miss Blears repaid voluntarily last month, in the wake of expenses disclosures about the sale of her Kennington flat, was not allegedly to cover just one property.
It is understood that a Cabinet Office compliance unit looking at ministers’ arrangements has uncovered another property sale in which Miss Blears declared the property as her primary residence for tax purposes while at the same time telling the Commons authorities that it was her designated second home.
She was apparently concerned that the full details would soon emerge - possibly as early as today.
The Telegraph last month sparked the controversy surrounding Miss Blears when we disclosed that she sold a property in Kennington, south London, in August 2004 for £200,000, making a profit of £45,000. She had designated that property as her second home for parliamentary expenses purposes.
The “flipping” of properties involved is not against the law or the rules governing MPs’ expenses claims, but Gordon Brown called her behaviour “totally unacceptable.”
Miss Blears confirmed on May 12 that she did not pay capital gains tax (CGT) on the profit from the sale because "no liability" had arisen.
But in an effort to shore up her Cabinet position she went before television cameras and wrote a cheque for £13,000. She has consistently denied any wrongdoing.
It was presumed that the amount was for the Kennington flat, but that allegedly is not the case.
The disclosure that the £13,000 allegedly included “back tax” for another “flipped” property deal will lead many to suspect that she resigned today before the details were disclosed.
The resignation of Miss Blears has deepened the political crisis now engulfing Gordon Brown, the Prime Minister.
Dealing a fresh blow to Mr Brown’s fragile political authority in the wake of the MPs' expenses scandal, Miss Blears said in her resignation statement today that the Labour Party has lost its connection with the British people.
“I have told the Prime Minsiter I am resigning from the Government,” Miss Blears said. “I am returning to the grassroots. I want to help the Labour Party to reconnect with the British people.
"My politics has always been rooted in the belief that ordinary people are capable of extraordinary things.
"The role of a progressive Government should be to pass power to the people.
"I want to help the Labour Party to reconnect with the British people, to remind them that our values are their values, that their hopes and dreams are ours too."
Today's statement was notable for the absence of any expression of backing for the Prime Minister.
David Cameron, the Tory leader, taunted Mr Brown in the Commons today at prime minister's questions, saying his command over his Cabinet had "simply disappeared".
Mr Cameron accused the premier of being "in denial" in the wake of the resignation of Miss Blears and other ministerial departures.
Shadow work and pensions secretary Theresa May said the Government was no longer capable of governing and that a General Election was now essential.
"The Government has no answer. They are racked by infighting and they are unable to deal with the real issues that matter to people," she told the BBC News channel. "We need a General Election."
Liberal Democrat leader Nick Clegg said the Government was in its "death throes".
Gordon Brown “respects and understands” Hazel Blears’ decision to quit the Cabinet and believes she made “an outstanding contribution to public life”, said a Downing Street spokesman.
Miss Blears told Mr Brown of her decision to quit at a face-to-face meeting this morning.
The spokesman added: "She will be replaced very shortly."
Miss Blears' move followed confirmation that Jacqui Smith, the Home Secretary, will step down from the Cabinet at the reshuffle. Two other minsters, Tom Watson and Beverley Hughes, have also said they are quitting.
Miss Blears has been a public critic of the Prime Minister, and there is now intense speculation that she will attack him from the backbenches.
1 comment:
Some of the comment's from this COW are rich indeed, such as "she is standing down as a Minister because Labour have lost touch with the British People".
That is rich coming from her, she herself, has lost touch with the British people, let alone Labour.
Also standing down isn't just enough for her and those equally guilty as she is. Standing down as a Minister or as an MP is hardly a fitting punishment for their crimes against the British people, they should be sacked! collect their P45, and where appropriate be prosecuted for fraud and obtaining money under false pretenses.
She and other's have been taking the PISS! out of the British taxpayer for years, so she's got absolutely zero room to comment at all.
She and others should resign from all of their political positions whether in government or in opposition, and leave the political scene in shame with their heads hung down and not expect a penny further of taxpayers money.
But they are not doing that, many are resigning as Ministers, or are standing down at the general election. Which means that they will receive nice big fat handouts from us, the taxpayers. THAT IS TAKING THE PISS EVEN MORE!
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